Identification of the wilful default should be made keeping in view track record of the borrower: RBI

The Reserve Bank of India (RBI), on July 30, released the master directions on Treatment of Wilful Defaulters and Large Defaulters and said identification of the wilful default should be made keeping in view the track record of the borrower.

The central bank further said the identification should not be decided on the basis of isolated transactions/ incidents.

“The default to be categorised as wilful must be intentional, deliberate, calculated and meeting,” RBI said in a release.

In September 2023, the RBI had released the master directions for the comments from stakeholders and members of the public.