RBI issues Oct 1, 2026 loan recovery rules banning harassment
The Reserve Bank of India just rolled out fresh rules for loan recovery agents, aiming to make the process a lot less stressful for borrowers.
Starting October 1, 2026, agents can't call or message you outside 8am to 7pm unless you say it's okay.
Things like abusive language, spamming your phone, or social media shaming or public humiliation are now strictly off-limits.
RBI bars contacting family friends guarantors
The new guidelines also cover your family, friends, and even guarantors: no more dragging them into recovery hassles.
All recovery calls have to be recorded (and borrowers must be informed), and agents must show ID and give you a heads-up before showing up.
Plus, lenders can't block essential services on devices bought with loans without following the borrower being 90 days past due after due notice and proper notice.
If things get rough, you can complain to the lender or even take it up with the Reserve Bank of India ombudsman.