The Credit Authorization Scheme (CAS) was launched in 1965 and was withdrawn in 1989. Under the scheme, all selected commercial banks were advised to obtain the RBI's prior authorization before sanctioning any credit limit of Rs. ... Normally authorization is given within 3 days of the receipt of application.

What is credit scheme?

A credit guarantee scheme provides third-party credit risk mitigation to lenders through the absorption of a portion of the lender's losses on the loans made to SMEs in case of default, typically in return for a fee.

What are the qualitative credit control methods of RBI?

Quantitative or traditional methods of credit control include banks rate policy, open market operations and variable reserve ratio. Qualitative or selective methods of credit control include regulation of margin requirement, credit rationing, regulation of consumer credit and direct action.