RBI proposes curbs on NBFC revolving credit, with card issuers exempt

The RBI has proposed barring NBFCs from offering revolving credit facilities, including working-capital and cash-credit limits, potentially tightening funding options for retailers and small businesses. RBI-authorised credit-card issuers would be exempt; stakeholder feedback is due August 28.

— Filed Fri, 7 Aug, 2026, 01:47 IST · Source Financial Express · BrandWagon · Updated

RBI has proposed barring NBFCs from offering revolving credit facilities, including working-capital and cash-credit limits. NBFCs would be limited to term loans, while RBI-authorised credit-card issuers are exempt.