Archive · 3 Oct 2025
RBI Imposes Penalties on American Express and HDB Financial
The Reserve Bank of India (RBI) has penalized two financial companies.
American Express Banking Corp was fined Rs 31.80 lakh.
This was due to the company not returning credit balances to certain cardholders.
HDB Financial Services was fined Rs 4.2 lakh for not following Know Your Customer (KYC) rules.
The RBI conducted inspections and issued notices before imposing the penalties.
The penalties were imposed after considering the companies' responses.
The actions relate to the companies' conduct regarding credit and debit cards.
RBI imposed a penalty on American Express Banking Corp.
American Express was fined Rs 31.80 lakh.
The penalty was for non-compliance with credit card directions.
RBI also penalized HDB Financial Services.
HDB Financial Services was fined Rs 4.2 lakh for KYC non-compliance.
- Who
- Reserve Bank of India (RBI)
- What
- Imposed penalties on American Express Banking Corp and HDB Financial Services.
- When
- The action was announced on Friday.
- Where
- Not explicitly stated in the articles.
- Why
- For non-compliance with RBI directions.
- Organizations Penalized
- American Express Banking Corp, HDB Financial Services
- RBI Action
- Imposed penalties for non-compliance
- American Express Penalty
- Rs 31.80 lakh
- HDB Financial Services Penalty
- Rs 4.2 lakh
- American Express Non-Compliance
- Failed to reverse credit balances
- HDB Financial Services Non-Compliance
- KYC Directions, 2016