Returns or intimations to be submitted by Non Banking Financial Companies to RBI / Compliance by Non Banking Financial Companies under RBI Regulations

The Non-Banking Financial Companies (NBFCs) are required to submit various returns to the Reserve Bank of India w.r.t their deposit acceptance, prudential norms compliance, ALM etc.

There are different types of NBFCs registered with RBI, which are required to file different types of returns. Types of Companies are mentioned below for your convenience:

Type of NBFCs

1. NBFCs-D:- Deposit taking Non-Banking Financial Companies (NBFCs);

2. NBFCs-ND:- Non-Deposit taking NBFCs;

3. NBFCs-ND-SI:- Individual Non-Banking Financial Companies (NBFCs) not accepting/holding public deposits and having asset sizes of ₹500 crore and above (also termed as Systemically Important NBFCs)

4. RNBCs:- Residuary Non-Banking Companies.

5. NBFC-ARC:- Non Banking Financial Companies-Asset Reconstruction Companies.

It is to be noted that any balance sheet, returns or information required to be submitted or furnished to the Reserve Bank in pursuance of applicable directions shall be submitted or furnished to the Regional Office of the [Department of Non Banking Supervision] of the Reserve Bank within whose jurisdiction the registered office of the company is located.

The lists of returns to be submitted by the above NBFCs are as under:

S.no Form/Return  Particular/ Purpose of Return or document Applicability Due date
1. NBS-1 Return Return on Financial Indicators by deposit taking NBFCs to capture financial details, viz. components of Assets and Liabilities, Profit and Loss account, Exposure to sensitive sectors etc. All NBFCs accepting/holding public deposits Within 15 days from the end of Quarter
2. NBS-2 Return Return on Prudential Norms by deposit taking NBFCs to capture compliance with various prudential norms, e.g. Capital Adequacy, Asset Classification, Provisioning, NOF etc. All NBFCs accepting/holding public deposits Within 15 days from the end of Quarter
3. NBS-3 Return

 

Return on Liquid Assets by deposit taking NBFCs to capture details of Statutory Investments in Liquid Assets (Central/State Government Securities, Fixed Deposits in Scheduled Commercial Bank etc.) All NBFCs accepting/holding public deposits Within 15 days from the end of Quarter
4. NBS-4 Return Return on status of public deposits by NBFCs whose CoR is rejected by the Bank to know the repayment status of public deposits of rejected NBFCs- D this return is being called for. All NBFCs accepting/holding public deposits Within 30 days from the end of year
5. NBS-7 Return on Prudential Norms to capture compliance with various prudential norms, e.g. Capital Adequacy, Asset Classification, Provisioning, NOF etc. All NBFCs-ND-SI Within 15 days from the end of quarter
6. NBS-8 Return Return on Financial Indicators to capture profile information and financial details, viz. components of Assets and Liabilities, Profit and Loss account, Exposure to sensitive sectors, Branch Information etc. NBFCs (non-deposit taking) with assets size between ₹100 crore to ₹500 crore. Within 60 days from the end of year i.e. 30th May
7. NBS-9 Return Return on Financial Indicators by NBFCs with asset size below ₹ 100 crore to capture profile information and financial details, viz. components of Assets and Liabilities, Profit and Loss account, Branch Information etc. NBFCs (non-deposit taking) with assets size below ₹100 crore Within 60 days from the end of year i.e. 30th May.
8. Asset-Liability Management (ALM) Return

(NBFC-D)

To address concerns regarding Asset Liability mismatches and interest rate risk exposures, an ALM System was introduced for the deposit taking NBFCs as part of their overall system for effective risk management. All NBFCs accepting/holding Public Deposits with asset base of ₹ 100 crore & more, or holding public deposits of ₹ 20 crore or more (irrespective of their asset size), as per their latest audited balance sheet. Within 30 days from the end of half year.
9. NDSI_ 500cr return Return on Important Financial Parameters to capture financial details, viz. components of Assets and Liabilities, Profit and Loss account, Exposure to sensitive sectors, sectoral deployment of credit etc. All NBFCs-ND-SI Within 15 days from the end of quarter.
10. Asset-Liability Management (ALM) Returns To address concerns regarding Asset Liability mismatches and interest rate risk, an ALM System was introduced for the NBFC-ND-SI as part of their overall system for effective risk management.

Multiple Returns are to be submitted by NBFCs-ND-SI at various intervals as given below:

All NBFCs-ND-SI
a. Statement of short term dynamic liquidity [NBS-ALM1] (Quarterly). Within 15 days from the end of Quarter.
b. Statement of structural liquidity [NBS-ALM2] (Half yearly). Within 30 days from the end of Half year.
c. Statement of Interest Rate Sensitivity [NBS-ALM3] (Half yearly).
d. Statement on Assets Liability Mismatch [ALM-YRLY]. (Yearly) Within 15 days from the end of year
11. Branch Information Return To capture the reach and geographical spread of NBFCs NBFCs-ND-SI and NBFCs accepting /holding public deposits Within 15 days from the end of Quarter
12. Certificate on compliance with FDI norms: To capture compliance with the stipulated minimum capitalization norms and that its activities are restricted to the activities prescribed under FEMA. NBFCs having Foreign Direct Investment Within 30 days from the end of Half year
13. Overseas Investment Return To capture details on overseas investment by NBFCs. NBFCs (both deposit taking and non-deposit taking) having overseas investment Within 15 days from the end of Quarter
In addition to the above, an annual certificate from statutory auditors shall be submitted by the NBFCs to the concerned Regional Office of the Bank, certifying that it has fully complied with all the conditions stipulated under Master Direction – Non Banking Financial Company – Systemically Important Non Deposit taking and Deposit taking Company (Reserve Bank) Direction 2016.
14. ARC Return To capture financial parameters and various operational details e.g. assets (NPA) acquired, acquisition cost, their recovery status etc. Asset Reconstruction Companies Within 15 days from the end of Quarter.
15. NBS-1A Return on Financial Indicators by RNBCs to capture financial details, viz. components of Assets and Liabilities, Profit and Loss account, Exposure to sensitive sectors, Statutory Investments in Liquid Assets etc. Residuary Non-Banking Companies (RNBCs) Within 6 months from the end of year i.e. 30th September.
16. NBS-3A Within 15 days from the end of quarter.
17. CRILC Return on early Recognition of Stress on large accounts to facilitate early Recognition of Financial Distress, Prompt Steps for Resolution and Fair Recovery for Lenders. All NBFCs-ND-SI, NBFCs-D and NBFC-Factors Within 21 days from the end of quarter.
18. SMA-2 Return On every Friday of the week when the relevant account first came in SMA-2 category.
19. Statement on Interest Rate Futures transaction To know the extent of participation of NBFCs in Interest rate Future market. NBFCs participating in IRF exchanges for hedging their underlying exposures Within a period of month from the end of Half Year.
Returns/intimations applicable to every NBFC
20. Annual Report to RBI Submission of Audited Balance Sheet, an audited profit and loss account as on the last date of each financial year as passed by the company in general meeting together with a copy of the report of the Board of Directors laid before the company in such meeting to the Reserve Bank of India. Every miscellaneous non-banking company within fifteen days of Annual General  meeting
21. Statutory Auditors Certificate (SAC): Annual Certificate from Statutory Auditor to the effect that it is engaged in the business of non-banking financial institution requiring it to hold a Certificate of Registration granted under section 45-IA of the RBI Act to ensure continued regulatory compliance. Every NBFC One month from the date of finalisation of Balance Sheet. Not later than 31st December
22. Annual return Every miscellaneous non-banking company [holding or accepting deposits] shall submit to the Reserve Bank an annual return furnishing the information specified in the prescribed format. Every NBFC
23. Intimation for changes in Directors/principle officers Every miscellaneous non-banking company shall within a period of one month from the commencement of business deliver to the Reserve Bank, a written statement containing a list of:- Every NBFC Within a period of month from the date of event
24. a.     the names and the official designations of its principal officers; Every NBFC Within a period of one month from the date of event
25. b.    the names and residential addresses of the directors of the company; and Every NBFC
26. c.     the specimen signature of the officers authorised to sign on ehalf of behalf of the company, returns specified in paragraph (1). Every NBFC
27. Any change in the list referred to in clause a to clause c above, shall be intimated to the Reserve Bank within one month from the occurrence of such change. Every NBFC

Note: The Bank has hosted the formats of returns viz., NBS-1, NBS-2, NBS-3, NBS1A, NBS3A, NBS-7, NBS-8, NBS-9, ALM return, Branch Information return, SCRC return, Statutory Auditor Certificate on the Bank’s website, viz, https://cosmos.rbi.org.in. Concerned NBFCs are required to file the specified returns online through COSMOS application.

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Disclaimer: The views, information or opinions expressed hereinabove are compiled by me is solely for disseminating knowledge and private circulation. i hereby not liable for any loss, damage or inconvenience caused as a result of reliance on such information and we accept no legal liability or other responsibility by or on behalf of any errors, omissions, or statements on this content.

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