RBI's new guidelines stir up fintech, companies will not be able to use their data without the consent of customers

RBI's new move to crack down on digital lending bodies and make the entire sector transparent is not going well with some fintech companies. The reason is that by following the RBI directive, they will no longer be allowed to access customer data without their consent, nor will they be allowed to use 'Buy Now-Pay Later' (buy now, pay later). Under the guise of schemes, customers can be harassed.

New guidelines will increase cost

The new guidelines are expected to increase the cost of these companies significantly, as they will now have to invest more technology. The fidgeting of the fintech sector can be understood from the fact that Ashneer Grover, co-founder of Bharat Pay, has termed the RBI directive as the worst. 

More trouble for fintech apps

Dainik Jagran spoke to some fintech companies of the country about this. The officials of these companies are not speaking publicly against the RBI's instructions, but they are accepting that the work will not be done as before. The trouble is especially high for fintech apps associated with non-government banking companies (NBFCs) 

Keeping an eye on financial transactions in a digital way

RBI has made it clear that the rate at which all types of corporate bodies involved in digital financial transactions fix interest, at what rate penalizes and how they charge processing fee, it should be clearly calculated. needed. In a way, this will prove to be a step to stop some fintech companies from taking huge loans from customers. 

These companies are usually established as startups

App based fintech companies affiliated to NBFCs are giving personal loans to customers keeping in view the process of identification of customers. The special thing is that these companies are very low capital base. They are generally established as start-ups. However, it will be difficult for them to survive in business now. The provisions made by RBI to enhance the rights of customers, enhance their convenience and keep them safe, will also create an adverse environment for small digital app based companies. 

Grover is facing anger on internet media

Ashneer Grover has said in a very sarcastic letter that, if UPI is the world's best technology invention, then RBI's digital lending guideline is the worst. Actually RBI is saying that brother don't do lending-pending. We do not understand from the bank, and the sale of pen-pencil will also be less. Grover has made this point on the internet media and he has also faced a lot of anger from the general public for this statement.