The Reserve Bank of India (RBI) has prohibited Bajaj Finance from issuing loans under two products with immediate effect due to non-compliance with digital lending guidelines. The central bank cited deficiencies in adhering to guidelines, particularly the non-issuance of Key Fact Statements (KFS) to borrowers under these two lending products and deficiencies in the KFS issued for other digital loans. Bajaj Finance has temporarily suspended the sanction and disbursal of new loans under the affected products and pledged to rectify the KFS for eCOM and Insta EMI Card. The RBI’s digital lending guidelines require lenders to disclose all fees and charges upfront and detail recovery practices in case of default.