Restrictions imposed on Mahindra Finance have been lifted.
On September22, 2022 , the Reserve Bank of India had directed Mahindra & Mahindra Financial Services to immediately cease carrying out any recovery or repossession activity through outsourcing arrangements, till further orders.
Based on the submissions made by the company and its commitment to strengthen its recovery practices and outsourcing arrangements, tighten the process of onboarding third party agents and strengthen accountability framework as per its Board approved action plan, the RBI, vide its letter dated January 4, 2023, has informed the company of its decision to lift the restrictions imposed on the Company with immediate effect, according to a statement issued in BSE.
Mahindra Finance could continue recovery or repossession activities through its own employees. Non-banking financial companies use third-party recovery agents to cut costs.
On September22, 2022 , the Reserve Bank of India had directed Mahindra & Mahindra Financial Services to immediately cease carrying out any recovery or repossession activity through outsourcing arrangements, till further orders.
Based on the submissions made by the company and its commitment to strengthen its recovery practices and outsourcing arrangements, tighten the process of onboarding third party agents and strengthen accountability framework as per its Board approved action plan, the RBI, vide its letter dated January 4, 2023, has informed the company of its decision to lift the restrictions imposed on the Company with immediate effect, according to a statement issued in BSE.
Mahindra Finance could continue recovery or repossession activities through its own employees. Non-banking financial companies use third-party recovery agents to cut costs.
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