RBI fines Bank of Baroda and GIC Housing Finance for KYC and lending norm lapses

RBI Imposes Rs 66.7 Lakh Penalty On Bank Of Baroda, GIC Housing Finance

The RBI found that the public sector lender had collected interest higher than the contracted rate of interest in certain loan accounts.

7 hours ago

RBI Slaps Rs 66.7 Lakh Penalty on Bank of Baroda, GIC Housing Finance

A penalty of Rs 3.1 lakh has also been imposed on GIC Housing Finance Ltd for non-compliance with certain provisions of the KYC guidelines.

8 hours ago

RBI Imposes ₹66.7 Lakh Penalty On Bank Of Baroda And GIC Housing Finance For KYC, Lending Norm Violations

Mumbai, July 3, 2026: The Reserve Bank of India (RBI) on Friday said it has imposed a penalty of Rs 63.6 lakh on Bank of Baroda for non-compliance with certain provisions of the 'Fair Practices Code for Lenders' and 'Know Your Customer (KYC)' norms.A penalty of Rs 3.1 lakh has also been imposed on GIC Housing Finance Ltd for non-compliance with certain provisions of the KYC guidelines.RBI Cites Regulatory LapsesIn a statement, the RBI said it had conducted a statutory inspection for the supervisory evaluation of Bank of Baroda with reference to its financial position as on March 31, 2025, and a notice was issued to the lender.After considering the bank's reply to the notice, the RBI found that the public sector lender had collected interest higher than the contracted rate of interest in certain loan accounts.It also did not upload KYC records of certain customers to the Central KYC Records Registry (CKYCR) within the prescribed timeline, the RBI said.GIC Housing Finance PenalisedIn another statement, the RBI said a statutory inspection of GIC Housing Finance Ltd was conducted by the National Housing Bank with reference to its financial position as on March 31, 2025. In this case, a notice was also issued.Also Watch: RBI Imposes ₹41.80 Lakh Penalty On Canara Bank, KYC Upload Delays And Inoperative Account Lapses FoundThe company failed to put in place a system of periodic review of risk categorisation of accounts, with such periodicity being at least once in six months, the RBI said while imposing the penalty on GIC Housing Finance.In both cases, the central bank said the penalties are based on deficiencies in regulatory compliance and are not intended to pronounce upon the validity of any transaction or agreement entered into by the entities with their customers.(Disclaimer: Except for the headline, this article has not been edited by FPJ's editorial team and is auto-generated from an agency feed.)

9 hours ago

RBI imposes ₹66.7 lakh penalty on Bank of Baroda, GIC Housing Finance

The Reserve Bank of India on Friday said it has imposed a penalty of Rs 63.6 lakh on Bank of Baroda for non-compliance with certain provisions of the 'Fair Practices Code for Lenders' and 'Know Your Customer (KYC)' norms. A penalty of Rs 3.1 lakh has also been imposed on GIC Housing Finance Ltd for non-compliance with certain provisions of the KYC guidelines. In a statement, the RBI said it had conducted a statutory inspection for supervisory evaluation of the Bank of Baroda with reference to the financial position as on March 31, 2025, and a notice was issued to the lender. After considering the bank's reply to the notice, the RBI found that the public sector lender had collected interest higher than the contracted rate of interest in certain loan accounts. It also did not upload KYC records of certain customers to the Central KYC Records Registry (CKYCR) within the prescribed timeline, the RBI said. In another statement, the RBI said a statutory inspection of GIC Housing Finance

9 hours ago