Navi Finserv Receives RBI Nod to Resume Pre-Sanctioned Home Loans

Navi Finserv, founded by Sachin Bansal, has been allowed by the Reserve Bank of India to continue home loan disbursals pre-sanctioned before October 20, after initially being barred from issuing new loans. This decision offers much-needed relief to homebuyers waiting for their funds.

Navi Finserv, led by Sachin Bansal, has announced that the Reserve Bank of India (RBI) has given permission for the disbursement of home loans sanctioned before October 20, 2024. This decision comes after the RBI had previously imposed restrictions on the fintech firm from issuing new loans.

The RBI's initial order, effective October 21, cited concerns over high pricing and barred Navi Finserv from loan activities post that date. However, the new directive allows for scheduled disbursements to proceed until December 31, 2024, offering relief to affected homebuyers.

Alongside Navi Finserv, the RBI had placed similar prohibitions on three other non-banking financial companies (NBFCs). The firms affected include DMI Finance Private Limited, Arohan Financial Services Limited, and Asirvad Micro Finance Limited, reflecting broader regulatory scrutiny across the sector.

(With inputs from agencies.)