RBI Imposes Monetary Penalty on ESAF Small Finance Bank.

Banking & Finance | Dated: 12 Jan 2026

The Reserve Bank of India (RBI) has imposed a monetary penalty of Rs 29.55 lakh on ESAF Small Finance Bank. The penalty was levied for non-compliance with the directions issued by RBI on "Customer Service in Banks". This action is based on deficiencies in regulatory compliance.

🎯 Key Highlights:

  • The bank failed to ensure that its ATMs were operational during the mandated hours.
  • Also penalized were Dhanlaxmi Bank (Rs 1.20 crore) and Punjab and Sind Bank (Rs 1 crore).
  • The penalties are not intended to pronounce upon the validity of any transaction with customers.

💡 Other Important Facts:

  • Entity: ESAF Small Finance Bank.
  • Penalty: Rs 29.55 Lakh.
  • Regulator: RBI.

📚 Test Your Knowledge:

RBI recently imposed a penalty of Rs 29.55 lakh on which Small Finance Bank for non-compliance with customer service norms?

Correct Answer: ESAF Small Finance Bank

🚀 Quick Recap:

About ESAF SFB

  • MD & CEO – K. Paul Thomas
  • HQ – Thrissur, Kerala