{"what_this_is":"The machine-readable twin of the BankPulse page for one RBI rulebook. Same points, same dates, same paragraph references as the page a person reads. RBI's own wording is not reproduced here: each point names the RBI paragraph, the character offset into the text BankPulse read and the sha256 of that text, so the claim can be checked against RBI's own document.","schema_version":1,"release_id":"d653cdb0a5","generated_at":"2026-09-15T00:33:59.117975+00:00","id":"md13113","title":"Reserve Bank of India (Small Finance Banks – Resolution of Stressed Assets) Directions, 2025","document_kind":"Directions","page":"https://bankpulse.ai/rule/md13113","status":"In force","importance":{"code":"MR","label":"MUST READ","weight":"Must read","why":"Binding RBI Directions naming this institution class in the title","layer":"bankpulse_inference"},"applies_to":{"shown":"Small finance banks","class_code":"SFB","from":"the document's own title","layer":"bankpulse_inference"},"dates":{"prid":"md13113","mode":"four_dates_v1","published":{"label":"Published","value":"November 28, 2025","stated":true,"why":"The day RBI put this document out."},"effective":{"label":"Starts to apply","value":"","stated":false,"why":"Not stated separately in this document. Read the rule itself before you assume a start date."},"transition":{"label":"Time to get ready","value":"","stated":false,"why":"Cannot be worked out until the day it starts to apply is known."},"deadline":{"label":"Last date to act","value":"","stated":false,"why":"No date to act by was found in this document. Other dates may sit inside single paragraphs."},"sources":{"published":"doc_date in data/highlights/md13113.json","effective":"none held","transition":"none held","deadline":"none held"}},"rbi_source":{"url":"https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=13113","document_date":"November 28, 2025","read_by_bankpulse":"2026-08-21 16:16:07 UTC","text_sha256":"3f8d94af2a1d1207700c4bff87d0c4bbd5321a6c2efb15eec403a0cc9d4e1c80","word_count":null,"standing_last_checked":"Standing checked on RBI’s Master Directions index, 15 September 2026, 5:58 am IST."},"counts":{"points_shown":81,"points_naming_an_rbi_paragraph":81,"points_stored":81,"actions":0,"amendments":2},"points":[{"n":1,"claim":"md13113-39c3c0e5","page_group":"Opening paragraphs","stored_section":"THE CORE IDEA","heading":"Settlement recognised","plain_english":"Settling for less money now counts as a valid way to resolve stress.","rbi_paragraph":"Opening paragraphs","rbi_char_offset":4410,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p1","layer":"bankpulse"},{"n":1,"claim":"md13113-1b10276f","page_group":"Chapter I. Preliminary","stored_section":"WHAT CHANGES","heading":"Twenty per cent repaid","plain_english":"The specified period runs until a fifth of the principal and capitalised interest is repaid.","rbi_paragraph":"Para 6(16)","rbi_char_offset":14105,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p2","layer":"bankpulse"},{"n":2,"claim":"md13113-0b9d7a5b","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Bad loan rules for SFBs","plain_english":"This paper sets what small finance banks must do when a borrower stops paying.","rbi_paragraph":"Para 1","rbi_char_offset":6854,"weight":"DO IT","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p3","layer":"bankpulse"},{"n":3,"claim":"md13113-e03876c8","page_group":"Chapter I. Preliminary","stored_section":"WHO SHOULD ACT","heading":"Follow the special order","plain_english":"Such a case must be pursued as the special instructions say.","rbi_paragraph":"Para 5","rbi_char_offset":7777,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p4","layer":"bankpulse"},{"n":4,"claim":"md13113-9dc43f6e","page_group":"Chapter I. Preliminary","stored_section":"WHAT CHANGES","heading":"Equity is left out","plain_english":"Only equity and paper that must turn into equity is left out of principal debt.","rbi_paragraph":"Para 6(9)","rbi_char_offset":11447,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p5","layer":"bankpulse"},{"n":5,"claim":"md13113-5cd26df2","page_group":"Chapter I. Preliminary","stored_section":"KEY DATES","heading":"Start date","plain_english":"These Directions came into effect on the day RBI issued them.","rbi_paragraph":"Para 2","rbi_char_offset":6999,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p6","layer":"bankpulse"},{"n":6,"claim":"md13113-13e9a109","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Who is covered","plain_english":"These Directions apply to every small finance bank.","rbi_paragraph":"Para 3","rbi_char_offset":7091,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p7","layer":"bankpulse"},{"n":7,"claim":"md13113-fd29e2f0","page_group":"Chapter I. 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Preliminary","stored_section":"THE CORE IDEA","heading":"What default means","plain_english":"Default is non-payment of any part of a debt once it is due and payable.","rbi_paragraph":"Para 6(4)","rbi_char_offset":9298,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p10","layer":"bankpulse"},{"n":10,"claim":"md13113-dbce5093","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"What residual debt means","plain_english":"Residual debt is the principal all the lenders will still hold under the plan.","rbi_paragraph":"Para 6(10)","rbi_char_offset":11513,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p11","layer":"bankpulse"},{"n":11,"claim":"md13113-d7c78a11","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"What restructuring means","plain_english":"Restructuring is giving a borrower a concession because of financial difficulty.","rbi_paragraph":"Para 6(12)","rbi_char_offset":12163,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p12","layer":"bankpulse"},{"n":12,"claim":"md13113-1dbe4ba4","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"A standby line for overruns","plain_english":"A standby credit facility is a line set at closure to meet a cost overrun.","rbi_paragraph":"Para 6(17)","rbi_char_offset":14921,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p13","layer":"bankpulse"},{"n":13,"claim":"md13113-4acf2c71","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Write-off is no waiver","plain_english":"A technical write-off is for the books only and waives no claim on the borrower.","rbi_paragraph":"Para 6(18)","rbi_char_offset":15119,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p14","layer":"bankpulse"},{"n":1,"claim":"md13113-a04e4370","page_group":"Chapter II. General Requirements","stored_section":"WHO SHOULD ACT","heading":"Sanctioner cannot approve","plain_english":"An official who sanctioned the loan may not approve its compromise settlement.","rbi_paragraph":"Para 12(5)","rbi_char_offset":19968,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p15","layer":"bankpulse"},{"n":2,"claim":"md13113-df699f63","page_group":"Chapter II. General Requirements","stored_section":"WHAT CHANGES","heading":"CRILC monthly reporting","plain_english":"Banks must report loans of 5 crore rupees or more to CRILC monthly.","rbi_paragraph":"Para 17","rbi_char_offset":22323,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p16","layer":"bankpulse"},{"n":3,"claim":"md13113-66f7f2de","page_group":"Chapter II. General Requirements","stored_section":"WHO SHOULD ACT","heading":"Board-approved policy","plain_english":"The bank's Board must approve its policy for resolving stressed loans.","rbi_paragraph":"Para 9","rbi_char_offset":16389,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p17","layer":"bankpulse"},{"n":4,"claim":"md13113-203dc99b","page_group":"Chapter II. 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General Requirements","stored_section":"WHAT CHANGES","heading":"What the policy must hold","plain_english":"The Board policy must set out the objective grounds for relief to each kind of borrower.","rbi_paragraph":"Para 13","rbi_char_offset":20689,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p22","layer":"bankpulse"},{"n":9,"claim":"md13113-9d406ade","page_group":"Chapter II. General Requirements","stored_section":"WHAT CHANGES","heading":"Early stress flagging","plain_english":"Banks must flag loan stress right away as a special mention account.","rbi_paragraph":"Para 15","rbi_char_offset":21278,"weight":"DO IT","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p23","layer":"bankpulse"},{"n":10,"claim":"md13113-7c96a011","page_group":"Chapter II. General Requirements","stored_section":"WHAT CHANGES","heading":"Weekly default reporting","plain_english":"Banks must report every big default in writing every single Friday.","rbi_paragraph":"Para 18","rbi_char_offset":22573,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p24","layer":"bankpulse"},{"n":11,"claim":"md13113-bf6d2f40","page_group":"Chapter II. General Requirements","stored_section":"WHO SHOULD ACT","heading":"Report to the utilities","plain_english":"Financial information must be filed with the insolvency information utilities.","rbi_paragraph":"Para 19","rbi_char_offset":22852,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p25","layer":"bankpulse"},{"n":12,"claim":"md13113-d5d00261","page_group":"Chapter II. General Requirements","stored_section":"WHAT CHANGES","heading":"Show it in the notes","plain_english":"The position must be disclosed in the notes to the accounts.","rbi_paragraph":"Para 20","rbi_char_offset":23186,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p26","layer":"bankpulse"},{"n":13,"claim":"md13113-63640175","page_group":"Chapter II. General Requirements","stored_section":"THE CORE IDEA","heading":"Likely default counts too","plain_english":"A borrower not yet in default counts if default is likely without the concession.","rbi_paragraph":"Para 10(2)","rbi_char_offset":17132,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p27","layer":"bankpulse"},{"n":14,"claim":"md13113-42df144a","page_group":"Chapter II. General Requirements","stored_section":"WHO SHOULD ACT","heading":"Full Board approval","plain_english":"Settling with a fraud or wilful defaulter account needs the full Board's approval.","rbi_paragraph":"Para 12(5)","rbi_char_offset":20100,"weight":"BACKGROUND","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p28","layer":"bankpulse"},{"n":15,"claim":"md13113-5501113e","page_group":"Chapter II. General Requirements","stored_section":"IMPACT","heading":"Penalty for concealment","plain_english":"Hiding a loan's real health can bring RBI fines and stricter provisioning.","rbi_paragraph":"Para 21","rbi_char_offset":23554,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p29","layer":"bankpulse"},{"n":1,"claim":"md13113-48d89658","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"Five hundred crore needs two","plain_english":"An exposure of ₹500 crore or more needs two independent credit checks; others need one.","rbi_paragraph":"Para 34","rbi_char_offset":27949,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p30","layer":"bankpulse"},{"n":2,"claim":"md13113-eb486989","page_group":"Chapter III. Resolution Process","stored_section":"THE CORE IDEA","heading":"Grading does not pause","plain_english":"Re-grading of an asset must not stop just because a plan is being considered.","rbi_paragraph":"Para 38","rbi_char_offset":29019,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p31","layer":"bankpulse"},{"n":3,"claim":"md13113-40536893","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"180-day implementation window","plain_english":"Banks get 180 days from review start to make the plan work.","rbi_paragraph":"Para 39(1)","rbi_char_offset":29360,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p32","layer":"bankpulse"},{"n":4,"claim":"md13113-123dd3a1","page_group":"Chapter III. Resolution Process","stored_section":"WHO IT APPLIES TO","heading":"Below fifteen hundred crore","plain_english":"Chapter IV does not apply to an account with total exposure below ₹1,500 crore.","rbi_paragraph":"Para 43","rbi_char_offset":31281,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p33","layer":"bankpulse"},{"n":5,"claim":"md13113-27cfc18c","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"Market rates only","plain_english":"A derivative may be restructured only at prevailing market rates, never off-market.","rbi_paragraph":"Para 44(3)","rbi_char_offset":31767,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p34","layer":"bankpulse"},{"n":6,"claim":"md13113-4aa0066c","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"Not past the maturity date","plain_english":"The repayment period cannot run past the contract's maturity date.","rbi_paragraph":"Para 46(2)","rbi_char_offset":32606,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p35","layer":"bankpulse"},{"n":7,"claim":"md13113-a7aa8cdb","page_group":"Chapter III. Resolution Process","stored_section":"WHO SHOULD ACT","heading":"Review together on default","plain_english":"Once one lender reports default, all the lenders must review the account together.","rbi_paragraph":"Para 23","rbi_char_offset":24082,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p36","layer":"bankpulse"},{"n":8,"claim":"md13113-6d304005","page_group":"Chapter III. Resolution Process","stored_section":"WHO SHOULD ACT","heading":"Decide the way forward","plain_english":"During the review period the lenders must jointly settle the resolution strategy.","rbi_paragraph":"Para 24","rbi_char_offset":24230,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p37","layer":"bankpulse"},{"n":9,"claim":"md13113-0887c9ec","page_group":"Chapter III. Resolution Process","stored_section":"WHO SHOULD ACT","heading":"Sign an inter-creditor pact","plain_english":"Where a plan is to be put in place, all lenders must sign an inter-creditor agreement.","rbi_paragraph":"Para 27","rbi_char_offset":24784,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p38","layer":"bankpulse"},{"n":10,"claim":"md13113-a83d47bc","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"What that pact covers","plain_english":"The pact must set out the rights of the majority and protect those who dissent.","rbi_paragraph":"Para 29","rbi_char_offset":25545,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p39","layer":"bankpulse"},{"n":11,"claim":"md13113-c1bb9d16","page_group":"Chapter III. Resolution Process","stored_section":"WHO SHOULD ACT","heading":"Write the plan down","plain_english":"The plan must be clearly documented even where no term changes.","rbi_paragraph":"Para 31","rbi_char_offset":26056,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p40","layer":"bankpulse"},{"n":12,"claim":"md13113-6f85c5c7","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"All opinions must clear RP4","plain_english":"Where extra opinions are taken, every one must be RP4 or better for the plan to go ahead.","rbi_paragraph":"Para 36","rbi_char_offset":28463,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p41","layer":"bankpulse"},{"n":13,"claim":"md13113-ed190b2a","page_group":"Chapter III. 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Resolution Process","stored_section":"WHAT CHANGES","heading":"Lender majority rule","plain_english":"Lenders holding 75% of the debt and 60% by number can bind all lenders.","rbi_paragraph":"Para 28","rbi_char_offset":25084,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p44","layer":"bankpulse"},{"n":16,"claim":"md13113-bbc16419","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"Minimum RP4 rating","plain_english":"Only resolution plans rated RP4 or better for the leftover debt can proceed.","rbi_paragraph":"Para 35","rbi_char_offset":28112,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p45","layer":"bankpulse"},{"n":17,"claim":"md13113-beb13a4d","page_group":"Chapter III. Resolution Process","stored_section":"WHAT CHANGES","heading":"Exit means fully paid out","plain_english":"A plan built on exit or recovery counts as done only when the exposure is fully extinguished.","rbi_paragraph":"Para 40","rbi_char_offset":30467,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p46","layer":"bankpulse"},{"n":18,"claim":"md13113-2cbbeedc","page_group":"Chapter III. Resolution Process","stored_section":"THE CORE IDEA","heading":"Any change is restructuring","plain_english":"Changing any term of a derivative contract counts as restructuring.","rbi_paragraph":"Para 44(1)","rbi_char_offset":31501,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p47","layer":"bankpulse"},{"n":1,"claim":"md13113-22a89203","page_group":"Chapter IV. Additional Provisioning","stored_section":"WHAT CHANGES","heading":"Capped at the whole amount","plain_english":"Total provisions held are capped at a hundred per cent of the amount outstanding.","rbi_paragraph":"Para 48","rbi_char_offset":33711,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p48","layer":"bankpulse"},{"n":2,"claim":"md13113-f278034d","page_group":"Chapter IV. 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Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Two ratings above five hundred","plain_english":"An upgrade needs two ratings above ₹500 crore and one below it.","rbi_paragraph":"Para 60","rbi_char_offset":38600,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p50","layer":"bankpulse"},{"n":2,"claim":"md13113-e7852759","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Fifteen per cent more","plain_english":"An extra provision of fifteen per cent is made at the end of the review period.","rbi_paragraph":"Para 64","rbi_char_offset":40228,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p51","layer":"bankpulse"},{"n":3,"claim":"md13113-2ce1b4eb","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"No reversal at that stage","plain_english":"Excess provisions may not be written back when the plan goes for approval.","rbi_paragraph":"Para 71","rbi_char_offset":42506,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p52","layer":"bankpulse"},{"n":4,"claim":"md13113-a1524fb4","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Twenty-six per cent needed","plain_english":"The new promoter must hold at least 26 per cent and be the single largest shareholder.","rbi_paragraph":"Para 77(3)","rbi_char_offset":44760,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p53","layer":"bankpulse"},{"n":5,"claim":"md13113-857b2f14","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"All must be investment grade","plain_english":"Where more ratings are taken, every one must be investment grade to allow an upgrade.","rbi_paragraph":"Para 60","rbi_char_offset":38831,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p54","layer":"bankpulse"},{"n":6,"claim":"md13113-bfb457ca","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHO SHOULD ACT","heading":"Make up any shortfall","plain_english":"Where provisions held fall short of what is expected, the gap must be filled.","rbi_paragraph":"Para 69(1)","rbi_char_offset":41866,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p55","layer":"bankpulse"},{"n":7,"claim":"md13113-f723873f","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHO SHOULD ACT","heading":"New promoter must be clean","plain_english":"The lender must establish that the new promoter is not linked to the old one.","rbi_paragraph":"Para 77(2)","rbi_char_offset":44474,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p56","layer":"bankpulse"},{"n":8,"claim":"md13113-7da8ae84","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"And must be in control","plain_english":"The new promoter must also be in control as the company and securities law define it.","rbi_paragraph":"Para 77(4)","rbi_char_offset":44948,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p57","layer":"bankpulse"},{"n":9,"claim":"md13113-29a90438","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Downgrade on restructuring","plain_english":"A healthy loan is downgraded the moment it gets restructured.","rbi_paragraph":"Para 52","rbi_char_offset":35459,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p58","layer":"bankpulse"},{"n":10,"claim":"md13113-92eb3071","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"THE CORE IDEA","heading":"Grade does not improve","plain_english":"A bad account keeps the same grade after restructuring as it had before.","rbi_paragraph":"Para 53","rbi_char_offset":35674,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p59","layer":"bankpulse"},{"n":11,"claim":"md13113-60f9c199","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"New money follows the account","plain_english":"New finance takes the account's grade if it fails during the watch period.","rbi_paragraph":"Para 56","rbi_char_offset":36631,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p60","layer":"bankpulse"},{"n":12,"claim":"md13113-8c6246a3","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Freeze ends on rejection","plain_english":"The freeze on provisions ends at once if the plan is rejected.","rbi_paragraph":"Para 73","rbi_char_offset":42976,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p61","layer":"bankpulse"},{"n":13,"claim":"md13113-f73e20a2","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Cash basis for bad accounts","plain_english":"Interest on a restructured standard account is taken on accrual, on a bad one only in cash.","rbi_paragraph":"Para 74","rbi_char_offset":43428,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p62","layer":"bankpulse"},{"n":14,"claim":"md13113-f4761b2b","page_group":"Chapter V. Prudential Norms Applicable to Restructuring","stored_section":"WHAT CHANGES","heading":"Failure restarts the clock","plain_english":"If the account fails during the watch period, a fresh review period begins.","rbi_paragraph":"Para 79","rbi_char_offset":45616,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p63","layer":"bankpulse"},{"n":1,"claim":"md13113-4d243cf3","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"Fraud accounts barred","plain_english":"Banks cannot restructure loans linked to fraud or wilful default.","rbi_paragraph":"Para 84","rbi_char_offset":47855,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p64","layer":"bankpulse"},{"n":2,"claim":"md13113-2515c3b5","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"THE CORE IDEA","heading":"Settlement is not a right","plain_english":"A borrower cannot demand a compromise settlement; it is the lender's judgement.","rbi_paragraph":"Para 88","rbi_char_offset":49122,"weight":"MUST KNOW","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p65","layer":"bankpulse"},{"n":3,"claim":"md13113-6c9ef0e5","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"Three months makes restructuring","plain_english":"A settlement paid over more than three months counts as restructuring.","rbi_paragraph":"Para 90","rbi_char_offset":49918,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p66","layer":"bankpulse"},{"n":4,"claim":"md13113-dc2948ad","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"12-month lending gap","plain_english":"Banks must wait at least 12 months before lending again after a settlement.","rbi_paragraph":"Para 96","rbi_char_offset":52233,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":["agriculture-loan"],"bankpulse_example":"Suppose a settlement is agreed in March. The bank may not lend to that borrower again for at least 12 months. Its own board policy may set a longer wait, but never a shorter one. This does not cover farm credit.","anchor":"https://bankpulse.ai/rule/md13113#p67","layer":"bankpulse"},{"n":5,"claim":"md13113-7b16d018","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"Lok Adalat route","plain_english":"Disputes up to 20 lakh rupees can go to civil court Lok Adalats.","rbi_paragraph":"Para 102(1)","rbi_char_offset":56474,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p68","layer":"bankpulse"},{"n":6,"claim":"md13113-f98a04ec","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"THE CORE IDEA","heading":"Most recovery, least cost","plain_english":"A compromise settlement must aim at the most recovery at the least cost.","rbi_paragraph":"Para 87","rbi_char_offset":48981,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p69","layer":"bankpulse"},{"n":7,"claim":"md13113-e1a27769","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"KEY DATES","heading":"Report upward each quarter","plain_english":"Settlements and write-offs must be reported to the next higher authority each quarter.","rbi_paragraph":"Para 94","rbi_char_offset":51163,"weight":"DO IT","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p70","layer":"bankpulse"},{"n":8,"claim":"md13113-7d7967f2","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHO SHOULD ACT","heading":"Top approvals to Board","plain_english":"Compromise settlements and write-offs approved by the chief executive or a Board committee must be reported to the Board.","rbi_paragraph":"Para 94","rbi_char_offset":51379,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p71","layer":"bankpulse"},{"n":9,"claim":"md13113-6c7113e9","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"KEY DATES","heading":"A cooling period after settlement","plain_english":"A cooling period set by the Board policy must pass before fresh exposure to that borrower.","rbi_paragraph":"Para 96","rbi_char_offset":52065,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p72","layer":"bankpulse"},{"n":10,"claim":"md13113-3b8a3dcd","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"THE CORE IDEA","heading":"Part settlement is restructuring","plain_english":"Any part settlement with the borrower also counts as restructuring.","rbi_paragraph":"Para 91","rbi_char_offset":50004,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p73","layer":"bankpulse"},{"n":11,"claim":"md13113-7afdbd19","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"THE CORE IDEA","heading":"The right to recover stays","plain_english":"A technical write-off does not weaken the right to recover from the borrower.","rbi_paragraph":"Para 92","rbi_char_offset":50427,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p74","layer":"bankpulse"},{"n":12,"claim":"md13113-2b773080","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"Measure against the original","plain_english":"After a part write-off, provisions and grading still work off the original exposure.","rbi_paragraph":"Para 93","rbi_char_offset":50871,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p75","layer":"bankpulse"},{"n":13,"claim":"md13113-5e4c8e3e","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHO SHOULD ACT","heading":"Board sets the farm gap","plain_english":"The cooling period for farm credit is set by the lender's own Board policy.","rbi_paragraph":"Para 96","rbi_char_offset":52474,"weight":"BACKGROUND","role":"Board","team":null,"products_covered":["agriculture-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p76","layer":"bankpulse"},{"n":14,"claim":"md13113-a50dfc44","page_group":"Chapter VI. Special Cases of Restructuring","stored_section":"WHAT CHANGES","heading":"Cash settlement allowed","plain_english":"Banks can still settle for cash with fraud or wilful defaulter accounts.","rbi_paragraph":"Para 98","rbi_char_offset":52995,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p77","layer":"bankpulse"},{"n":1,"claim":"md13113-71a75dda","page_group":"Chapter XI. Repeal and Other Provisions","stored_section":"KEY DATES","heading":"Latest update","plain_english":"The version in force today was updated on July 1, 2026.","rbi_paragraph":"Para 165","rbi_char_offset":92110,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p78","layer":"bankpulse"},{"n":2,"claim":"md13113-13965fbf","page_group":"Chapter XI. Repeal and Other Provisions","stored_section":"WHAT IT REPLACES","heading":"Older rules repealed","plain_english":"This document repeals all earlier stressed-asset rules for commercial banks.","rbi_paragraph":"Para 162","rbi_char_offset":89932,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p79","layer":"bankpulse"},{"n":3,"claim":"md13113-30fee77a","page_group":"Chapter XI. Repeal and Other Provisions","stored_section":"WHAT IT REPLACES","heading":"Old cases continue","plain_english":"Action already taken under the old rules stays governed by them.","rbi_paragraph":"Para 163","rbi_char_offset":90392,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p80","layer":"bankpulse"},{"n":4,"claim":"md13113-b0bc422a","page_group":"Chapter XI. Repeal and Other Provisions","stored_section":"WHO IT APPLIES TO","heading":"Relation to other laws","plain_english":"These Directions add to other laws; they do not cancel any of them.","rbi_paragraph":"Para 164","rbi_char_offset":91433,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md13113#p81","layer":"bankpulse"}],"actions":[],"amendments":[{"id":"nt13412","title":"Reserve Bank of India (Small Finance Banks – Resolution of Stressed Assets) Amendment Directions, 2026","date":"Apr 29, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13412&Mode=0","order":1,"layer":"rbi_source"},{"id":"nt13566","title":"Reserve Bank of India (Small Finance Banks – Resolution of Stressed Assets) Second Amendment Directions, 2026","date":"Jul 16, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13566&Mode=0","order":2,"layer":"rbi_source"}],"layers":{"rbi_source":"Facts taken from RBI's own document.","bankpulse":"BankPulse's plain-English summary of RBI's document.","bankpulse_inference":"BankPulse's own inference, not stated by RBI."},"rbi_wording_not_included":"By design. BankPulse never republishes RBI's exact sentences. Use rbi_paragraph with rbi_source.url to read RBI's own words.","terms":"BankPulse's plain-English summaries are BankPulse's own work. The underlying regulation is the Reserve Bank of India's. Always check the RBI document named in rbi_source before acting."}