The regulator sees widely varying implementations of know your customer norms as a systemic problem.
There is an uneasiness setting in over the fintech industry. It has been less than a month since the Reserve Bank of India cracked down on the business model of many buy now pay later startups, prohibiting all lending institutions from issuing a credit line to digital wallets or prepaid cards.
The RBI’s move—seen as an attempt to weed out one of the several regulatory ambiguities governing India’s young digital lending industry—has led to several high-profile startups having to alter their terms of service. In some cases, they even discontinued products overnight.
That, however, is only the beginning of a …
Advait is a financial journalist and a former writer at The Morning Context. Here, he wrote on India’s banks, the wider financial services industry and the fintech ecosystem. He has previously worked with the Economic and Political Weekly, Business Standard, BloombergQuint and MediaNama, where he covered everything from the Reserve Bank of India to fintech policy.
Writer
advait@mailtmc.com
Mumbai
Ashwin covered fintech and banking at The Morning Context. Previously, he was at The Economic Times, where he worked across the finance, tech and startup verticals, breaking stories related to India’s banking system, startups in the new economy, digital payments, insurance and cryptocurrencies.
Writer
ashwin@mailtmc.com
Delhi