The Govt. of Karnataka on March 06, 2025, issued the Karnataka Micro Loan and Small Loan (Prevention of Coercive Actions) Bill, 2025.
This shall come into force from February 12, 2025.
The following has been stated namely:-
• Nothing in this Act shall apply to legal, registered and regulated bodies like Banks (including Small Finance Banks, Local Area Banks, Regional Rural Banks and Business Correspondents of Banks) regulated by RBI, all Cooperative Banks and all Non-Banking Financial Companies and Housing Finance Corporation, registered with RBI.
• The provisions of this Act shall be in continuation of and not in derogation of any existing law for the time being in force.
• In this act it states that the registration of Micro Finance Institute, Money Lending Agencies or Organizations, or Lenders.
Detailed notification is attached below.
[Bill No. 06 of 2025]
