Fino Payments Bank Fined ₹29.6 Lakh by RBI Over Balance Limit
Why in the news
RBI imposed a ₹29.6 lakh penalty on Fino Payments Bank for not following licence conditions for payments banks.
Key facts
- Found during ISE 2024, using financials as on March 31, 2024.
- Violation: end-of-day balances above the permitted ceiling.
- Process: show-cause notice, then written and oral replies were weighed before the violation was held proved.
About payments banks
- Limited licence for small, transaction-focused balances.
- No lending; ₹2 lakh per customer limit, subject to periodic revision.
- Serve low-income households and migrant workers.
Exam angle
- Terms: ISE, show-cause notice, payments bank.