NBFC Returns vs Intimations

Non-Banking Financial Companies (NBFC) are those financial services that are expanding their market reach on a high scale. As per the guidelines of the Reserve Bank of India, NBFCs are required to submit various returns to RBI. Some returns are specific to a specific type of NBFC. This article provides for certain returns and intimations to be reported by NBFCs.

NBFC is classified based on liabilities, size, and activities they perform. The broad categorization of NBFCs are:

1. Asset Finance Company (AFC) 
2. Investment Company (IC)
3. Loan Company (LC)
4. Infrastructure Finance Company (IFC)
5. Systemically Important Core Investment Company (CIC-ND-SI)
6. Infrastructure Debt Fund (IDF-NBFC)
7. Micro Finance Institution (NBFC-MFI)
8. Non-Banking Financial Company – Factors (NBFC-Factors)
9. Mortgage Guarantee Companies (MGC)
10. Non-Operative Financial Holding Company (NOFHC)

Various Returns and Intimations to be filed by NBFCs:

NBS-1 Return:

To be submitted by deposit-taking NBFCs on a quarterly basis to report financial details.

NBS-2 Return:

To be submitted by deposit-taking NBFCs on a quarterly basis to report compliance with prudential norms.

NBS-3 Return:

To be submitted by deposit-taking NBFCs on a quarterly basis to report details of Statutory Investments in Liquid Assets.

NBS-4 Return:

To be submitted on an annual basis by NBFCs whose Certificate of Registration (CoR) has been rejected by the Bank and who is accepting/holding public deposits.

NDSI_500cr Return:

To be submitted by all NBFCs-ND-SI on a quarterly basis to report financial details.

NBS-7:

To be submitted by all NBFCs-ND-SI every quarter to report compliance with prudential norms.

Asset Liability Management (ALM) Returns:

This covers the following returns to be submitted by NBFC-ND-SI as follows:

• Statement of short term dynamic liquidity on a quarterly basis
• Statement of structural liquidity on a Half Yearly basis
• Statement of Interest Rate Sensitivity on Half Yearly basis
• Statement on Assets Liability Mismatch on an Annually basis

Branch Information Return:

To be submitted by NBFCs-ND-SI and NBFCs accepting/holding public deposits on a quarterly basis to report the reach and geographical spread of NBFCs.

Certificate on compliance with FDI norms:

To be submitted by NBFCs having FDI, a Certificate from their Statutory Auditor on a half-yearly basis certifying the compliance with the terms and conditions of FDI.

Overseas Investment Return:

To be submitted by NBFCs both who are taking deposit and non-deposit taking, having overseas investment on a quarterly basis.

ARC Return:

To be submitted on a quarterly basis by Asset Reconstruction Companies registered with the Bank.

NBS-8 Return:

Non-deposit-taking NBFCs with asset size between 100 crores to 500 crores on an annual basis to report financial details.

NBS-9 Return:

To be submitted by non-deposit taking NBFCs with assets size below 100 crores on annual basis to report financial details.

NBS-1A & NBS-3A Returns:

To be submitted by Residuary Non-Banking Companies (RNBCs) on a quarterly basis to report financial details.

Statement on Interest Rate Futures transaction:

To be submitted on a half-yearly basis by NBFCs participating in IRF exchanges for hedging their underlying exposures.

Statutory Auditors Certificate (SAC):

To be submitted by all NBFC, a Certificate from its Statutory Auditor on annual basis reporting that they are engaged in the business of the non-banking financial institution. 

Asset Liability Management (ALM) Return:

To be submitted by deposit-taking NBFCs on a half-yearly basis to report details of Asset Liability mismatches and interest rate risk exposures.

CRILC & SMA-2 Return:

To be reported by NBFCs-ND-SI, NBFCs-D, and NBFC-Factors on a quarterly basis through XBRL application.