The full form of AFC is Asset Finance Company.
An Asset Finance Company (AFC) is a type of Non-banking Financial Company (NBFC).
What is an Asset Finance Company?
An asset finance company is a financial institution.
The principal business of an AFC is financing of assets which are engaged in production or economic activities. Such assets are like tractors, generator sets, automobiles, lathe machines, industrial machines, etc.
Here, Principal business means the total of financing the said assets which supports economic activity and income arising therefrom is not less than 60% of its total assets and total income respectively.
Further, here, asset financing means getting a credit by using one or more assets as security for availing that credit.
List of Registered AFCs
List of Asset Finance Companies (AFCs) registered with RBI is available at RBI official site.
RBI site >> Sitemap >> NBFC List >> List of Asset Finance Companies (NBFC-AFCs)
As on March 27, 2019, there were a total of 278 Asset Finance Companies (AFCs) in India registered with RBI.
Examples of AFCs
Shri Ram Finance Corporation Private Limited, Raipur
Deccan Finance Limited, Chennai
Mahindra & Mahindra Financial Services Ltd, Mumbai
Intec Capital Limited, New Delhi
Jammu and Kashmir Development Finance Corporation Ltd
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