India P2P has temporarily halted withdrawals and new investments on its platform. The move comes in response to new RBI guidelines on NBFC-P2P lending issued on August 16.

The company informed customers that bulk withdrawals would be limited in line with these guidelines.

India P2P clarified that it has not faced any non-compliance issues, either in the past or present. The company aims to resume withdrawals next week based on repayments received.

Sources reveal that the Association of P2P Lending Platforms is planning to meet with the RBI soon to seek clarifications.

Key issues include the T+1 settlement rule and credit risk-sharing.

The RBI’s new rules focus on ensuring that P2P platforms don’t present themselves as offering assured returns or liquidity. These platforms are now barred from assuming credit risk or guaranteeing returns.

The guidelines also prohibit matching lenders with borrowers within closed user groups, tightening their operational scope.