A draft law seen by Reuters follows stepped-up government scrutiny since 2022 on digital lending applications following an increase in complaints about unfair lending and predatory recovery practices for loans made to vulnerable and low-income groups.According to the draft law, any lending activity except that authorized by the Reserve Bank of India (RBI) and by Indian law would be banned. Unregulated lending activities would attract a prison term of up to seven years, and a maximum penalty of ₹1 crore.The penalties would be even stiffer for unlawful means used to harass and recover funds, with illegal lenders punished with a prison term of up to 10 years, and a penalty as high as twice the loan amount, according to the draft.The draft law also bars unregulated entities from making any deceptive or false claims persuading people to apply for loans. Offenders would face a prison term of up to five years and a penalty of ₹10 lakh.

Govt plans jail terms, fines for illegal loans

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is the World's largest and fastest growing self-service, cross-platform digital newsstand with over 88 million users since its inception in 2011 and thousands of magazines and newspapers across 40+ categories and 60+ languages. Headquartered in New York, Magzter has its local presence in Amsterdam, London, Mexico City, Chennai, Mumbai, New Delhi, Bengaluru, Singapore, and will soon be expanding to other countries. Founded by global entrepreneurs, Girish Ramdas and Vijay Radhakrishnan in June 2011, Magzter enables magazine and newspaper publishers around the world to create and deliver digital editions of their titles to global consumers.

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which gives digital readers unlimited access to 9,000+ magazines and newspapers for a monthly subscription price. Magzter also has the largest number of stories in the world with its game-changing ezRead 2.0 feature for its apps, which enables smartphone and small-screen mobile users to enjoy magazine content the way it was meant to be enjoyed, with article text that is easy to read and is accompanied by stunning videos and high resolution photography.

{{magzter}} is the World's largest and fastest growing self-service, cross-platform digital newsstand with over 88 million users since its inception in 2011 and thousands of magazines and newspapers across 40+ categories and 60+ languages. Headquartered in New York, Magzter has its local presence in Amsterdam, London, Mexico City, Chennai, Mumbai, New Delhi, Bengaluru, Singapore, and will soon be expanding to other countries. Founded by global entrepreneurs, Girish Ramdas and Vijay Radhakrishnan in June 2011, Magzter enables magazine and newspaper publishers around the world to create and deliver digital editions of their titles to global consumers.