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Finance

NBFC

pronounced: [N-B-F-C]

Non-Banking Financial Company is a company registered under the Companies Act that provides financial services like loans, advances, and investment but does not hold a banking license.

RBI regulates systemically important NBFCs.

Example

A ₹5 lakh personal loan at 10% p.a. for 3 years has an EMI of ₹16,607/month. Total payment = ₹5,97,852, of which ₹97,852 is interest.

Frequently Asked Questions

Last updated: 21 May 2026