In terms of the RBI / NHB rules and regulations, an NBFC or HFC that is entitled to accept deposits is required to maintain a requisite SLR against the public deposits it accepts. MITCON Credensia acts as a Public Deposit / SLR Trustee for such NBFCs / HFCs, with a charge created over securities in its favour as required by the RBI / NHB.
Scope of Service
- Ensuring the NBFC / HFC has executed the Trust Deed
- Ensuring the NBFC / HFC creates the charge with the Registrar of Companies (ROC)
- Ensuring the lien is marked on the fixed deposits pledged with MCTSL
- Holding the charge over securities for the benefit of depositors
- Calling for returns such as NBS1, NBS2 and NBS3 from the NBFC / HFC as furnished to RBI / NHB
- Monitoring maintenance of the requisite SLR against public deposits
Frequently Asked Questions
What is a Deposit Trustee?
A Deposit (Public Deposit / SLR) Trustee holds security on behalf of depositors of an NBFC or HFC that accepts public deposits, as required by the RBI / NHB.
Why must an NBFC / HFC appoint a Deposit Trustee?
RBI / NHB rules require deposit-accepting NBFCs / HFCs to maintain SLR against public deposits and to create a charge over securities in favour of a trustee.
Is this service regulated by SEBI?
No. It is governed by RBI / NHB requirements and is a non-SEBI regulated service.
What is the SLR requirement?
It is the statutory liquidity reserve a deposit-accepting NBFC / HFC must maintain against the public deposits it accepts.
What does the trustee verify?
That the Trust Deed is executed, the charge is created with the ROC, liens are marked on pledged FDs, and statutory returns (NBS1, NBS2, NBS3) are filed.
What returns are monitored?
Returns such as NBS1, NBS2 and NBS3 furnished by the NBFC / HFC to the RBI / NHB.
Have questions about Deposit Trustee?
Our team can walk you through structuring, fee arrangements, and compliance requirements.
Request consultation