A Peer-to-Peer company in India is to be registered as

Solution

A Peer-to-peer lending company is to be registered as an NBFC-P2P with the RBI. The RBI has come out with guidelines to regulate the P2P companies in India. Some of the major guidelines include:

• Minimum Net owned funds of Rs.2 crore
• Maximum leverage ratio of 2
• Maximum exposure of a lender to all borrowers across P2P to be Rs.50 lakh
• Maximum loans taken by a borrower from all lenders across P2P to be Rs.10 lakh
• Maximum maturity of loans to be 36 months Maximum exposure of a lender to a single borrower at Rs.50,000