Applying for a loan online means sharing personal and financial information digitally. That is a completely reasonable thing to be cautious about — and it is exactly why the Reserve Bank of India’s Digital Lending Guidelines place strict rules around what data lenders can collect, how it can be used, and how long it can be retained.
What Data We Actually Need — And Why
Responsible digital lending relies strictly on the principle of data minimisation: collecting only the minimum information necessary to verify your identity and assess repayment capacity.
1. KYC Details (PAN & Aadhaar)
Used strictly to confirm your legal identity, prevent identity fraud, and fulfill mandatory statutory KYC obligations required by RBI.
2. Bank Statements
Used exclusively to assess repayment capacity and cash flow consistency — never to snoop on your lifestyle or track personal spending habits.
3. Contact Information
Used for critical loan communications, KFS delivery, OTP verifications, and reaching declared references during application processing.
4. What We Never Demand
We never demand access to your full contact address book, photo galleries, personal files, or unrelated app data. Any lender asking for these is violating RBI norms.
Where Your Data Goes
Under the RBI digital lending framework, lenders must disclose data usage policies with absolute transparency. Any data shared with third parties (such as authorized credit bureaus like CIBIL and Experian) is solely for legitimate, legally mandated reporting.
Your personal and financial information is never sold, leased, or monetized for third-party marketing.
Your Rights as a Borrower
Digital lending guidelines empower you with enforceable data protection rights throughout the lending lifecycle:
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The Right to Prior Consent You have the right to know exactly what data is being collected and the explicit reason for its collection before granting consent.
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The Right to an Accessible Privacy Policy You have the right to review a clearly written, comprehensive data privacy policy before completing any loan application.
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The Right to Grievance Redressal You have the right to escalate any privacy or data mishandling concern directly to our designated Grievance Redressal Officer.
"Privacy isn’t a trade-off you should have to make for access to credit. At MyInstaFunds (operated by B P Securities (India) Private Limited), data minimisation and purpose limitation are engineered directly into our lending architecture — not added as an afterthought."