HDFC Bank has been penalized by the Reserve Bank of India (RBI) with a monetary penalty of ₹0.91 crore. The penalty was imposed on November 18, 2025, and was communicated to the bank via email on November 28, 2025. This action was taken by the RBI in exercise of powers conferred under specific sections of the Banking Regulation Act, 1949.
RBI Penalty Details
The Reserve Bank of India (RBI) has imposed a penalty of ₹0.91 crore on HDFC Bank as per the order issued on November 18, 2025. The bank received notification of this penalty via email on November 28, 2025.
Reason for Penalty
The penalty is due to contraventions of directives outlined in Section 7(a)(b) & (c) of the Reserve Bank of India (Interest Rate on Advances) Directions, 2016. It also relates to Paragraph 2 of Annex to the Reserve Bank circular dated November 3, 2006, concerning ‘Guidelines on Managing Risks and Code of Conduct in Outsourcing of Financial Services by banks’ and Paragraph 8(b) of ‘Reserve Bank of India (KYC) Directions’ and Section 19(1)(a) read with Section 6(1) of the Banking Regulation Act, 1949.
Corrective Actions Taken
HDFC Bank states that it has since undertaken corrective actions to address the issues identified. HDBFS has also taken corrective actions. The Bank as well as HDBFS are reportedly in compliance with the above-mentioned Directions, as of the report date.
Source: BSE
