RBI New Loan Recovery Rules 2027: ₹250 Per Hour Compensation, Recovery Agent Guidelines & Borrower Rights

RBI introduces stricter loan recovery rules from January 1, 2027.

Recovery agents cannot threaten or harass borrowers.

Recovery calls allowed only between 8 AM and 7 PM.

Family members and friends cannot be harassed for loan recovery.

Sharing a borrower's photos or personal details on social media is banned.

For mobile loans, only the financed phone can be locked.

Essential services like incoming calls and SMS must remain active.

After loan repayment, the phone must be unlocked within 1 hour.

Delay in unlocking? Banks must pay ₹250 per hour as compensation.

Recovery agents must carry an ID card and bank authorization letter.

Banks must inform borrowers before sending a recovery agent.

Easy complaint system and compensation for unfair recovery practices.

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