Credit card default reached Rs 4,072 crore in March 2023, with GNPAs falling from 3.56 percent in March 2021 to 1.91 percent. Cooperative banks recorded 964 scams in FY23, costing Rs 536.59 crore. RBI and NABARD advise banks on personnel rotation, compliance monitoring, and cyber security. 100
Earlier this week, Parliament was informed that credit card default reached Rs 4,072 crore or 1.94 percent in March 2023.
Minister of State for Finance Bhagwat Karad told the Rajya Sabha in a written reply, “According to RBI inputs, the gross non-performing assets (GNPAs) in credit cards were Rs 3,122 crore in March-2022 and Rs 4,072 crore in March-2023, while credit card outstanding was Rs 1.64 lakh crore and Rs 2.10 lakh crore, respectively.”
Karad said that cooperative banks recorded 964 scams in FY23, totaling Rs 791.40 crore.
He said 729 frauds cost Rs 536.59 crore in FY22, compared to 438 frauds costing Rs 1,985.79 crore in FY21. He added all cooperative banks must follow RBI rules from time to time. He added that during supervisory assessments of banks, RBI standards are sampled and any non-compliance is addressed with the bank for correction or supervisory/enforcement action, as appropriate.
He added RBI and NABARD advise banks on personnel rotation and obligatory leave, compliance monitoring, cyber security recommendations, and other fraud risk management measures. Karad said that public sector banks had provided comments on ethical debt collection techniques.
He claimed banks sell properties online under their board-approved policy, the Reserve Bank of India’s fair practices guideline, and the SARFAESI Act, 2002. He added that banks publish property sale notifications in two newspapers—English and vernacular.
He added that the auction reserve price is calculated using several values from empanelled/registered valuers and approved by competent authorities. He said that RBI monitors adherence to its rules as part of its supervisory evaluation, and non-compliance is addressed with banks for correction or supervisory/enforcement action.
Conclusion:-
Credit card default reached Rs 4,072 crore or 1.94 percent in March 2023, according to RBI inputs. Cooperative banks recorded 964 scams in FY23, costing Rs 536.59 crore, compared to 438 frauds costing Rs 1,985.79 crore in FY21. RBI and NABARD advise banks on personnel rotation, compliance monitoring, cyber security recommendations, and other fraud risk management measures. Public sector banks provided comments on ethical debt collection techniques. Banks sell properties online under their board-approved policy, the Reserve Bank of India’s fair practices guideline, and the SARFAESI Act, 2002. The auction reserve price is calculated using multiple values from empanelled/registered valuers and approved by competent authorities. RBI monitors adherence to its rules as part of its supervisory evaluation, and non-compliance is addressed with banks for correction or enforcement action.
