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Eligibility Limit Of NBFCs For Debt Recovery Reduced [Read Notification]

LIVELAW NEWS NETWORK
26 Feb 2020 3:53 AM GMT
Eligibility Limit Of NBFCs For Debt Recovery Reduced [Read Notification]
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The Central government has relaxed the eligibility criteria for non-banking financial companies (NBFCs) for debt recovery under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002.

As per the notification issued by the Ministry of Finance on Monday, a NBFC having assets worth Rs 100 crore will be entitled for enforcement of security interest in secured debts of at least Rs 50 lakh.

The existing eligibility limit for debt recovery under the SARFAESI ACT is Rs.500 crore of asset size or loan size of Rs.1 crore.

Read Notification


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