Economics · Economy

Consider the following statements regarding the RBI regulatory framework for Non-Banking Financial Company-Microfinance Institutions (NBFC-MFIs): I. Every Regulated Entity (RE) shall have a Board-approved policy for the assessment of household income. II. A microfinance loan is a collateral-free loan provided to a household having an annual income of up to 3 lakh rupees, and the total monthly repayment obligation shall not exceed 50 percent of the monthly household income. III. The APR calculation for microfinance loans shall include interest, processing fees, and insurance premiums, and it must be displayed in the Fact Sheet given to the borrower. IV. NBFC-MFIs are required to maintain a minimum Capital to Risk-Weighted Assets Ratio (CRAR) of 15 percent. V. The 'Qualifying Assets' of an NBFC-MFI shall not be less than 75 percent of its total assets. VI. Regulated Entities are permitted to charge a pre-payment penalty on microfinance loans if the borrower closes the loan within the first six months. VII. Recovery staff are permitted to make recovery at the place of residence only if the borrower fails to appear at the central location on two consecutive occasions. Which of the statements given above are correct?