What are the various classes of Non-banking Financial Companies on the basis of their activities?
CS Executive · Economic, Business and Commercial Laws · PYQS · December 2021
What are the various classes of Non-banking Financial Companies on the basis of their activities?
Answer & Explanation:
Classes of Non - Banking Financial Company | Activity Classes of Non - Banking Financial Company Activity Asset Finance Company (AFC) (NBFC - Investment and Credit Companies) Financing of physical assets including automobiles, tractors and generators. Loan Company (NBFC - Investment and Credit Companies) Provision of loan finance Investment Company (NBFC - Investment and Credit Companies) Acquisition of securities for purpose of selling NBFC-Infrastructure Finance Company (NBFC-IFC) Provision of infrastructure loans NBFC-Systemically Important Core Investment Company (CIC-ND-SI) Makes investments and loans to group companies Infrastructure Debt Fund-NBFC (IDF-NBFC) Facilitation of flow of long-term debt into infrastructure projects NBFC-Micro Finance Institution (NBFC-MFI) Credit to economically dis-advantaged groups NBFC-Factor Acquisition of receivables of an assignor or extending loans against the security interest of the receivables at a discount NBFC-Non-Operative Financial Holding Company (NOFHC) Facilitation of promoters/ promoter groups in setting up new banks Mortgage Guarantee Company (MGC) Undertaking of mortgage guarantee business NBFC-Account Aggregator (NBFC-AA) Collecting and providing information about a customer's financial assets in a consolidated, organised and retrievable manner to the customer or others as specified by the customer. NBFC-Peer to Peer Lending Platform (NBFC- P2P) Providing an online platform to bring lenders and borrowers together to help mobilise funds
Topics: Banking Laws
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