As per RBI guidelines, a “wilful defaulter” refers to a borrower or guarantor who has committed wilful default, provided the outstanding amount is at least how much?

• RBI defines a wilful defaulter as a borrower or guarantor who has deliberately defaulted despite having the capacity to repay, or who has diverted/misutilized funds. • The minimum threshold outstanding amount to classify a borrower/guarantor as a wilful defaulter is ₹25 lakh and above, or such limit as notified by RBI from time to time. • In case of companies, the promoters and directors can also be tagged as wilful defaulters if they are found responsible. Similarly, in non-corporate entities, persons managing the affairs of the entity are held accountable. Thus, the outstanding amount must be ₹25 lakh or more for the wilful defaulter tag to apply.