It starts with a missed EMI. By evening your phone won’t stop ringing. Then your brother gets a message. Then your manager.
If this is happening to you, read this slowly: you still owe the money, but you do not owe anyone your dignity. RBI has set clear rules on how lenders and their recovery agents may behave, and they cover the loan apps too.
What recovery agents are NOT allowed to do
RBI’s instructions to banks, NBFCs and other regulated lenders on recovery agents (August 2022) say agents must not:
- call you before 8:00 am or after 7:00 pm,
- use threats, intimidation or abusive language,
- harass you through anonymous calls or inappropriate messages,
- make false or misleading statements about the debt or the consequences.
The lender stays responsible for its agents. “It was the agency, not us” is not a defence.
Why they shouldn’t even have your contacts
Under RBI’s Digital Lending Directions, 2025, lending apps must not access your contact list, call logs, or files and media. If an app has been messaging your family, ask how it got their numbers. That is a question regulators take seriously.
What you can do today, step by step
- Screenshot everything: call logs, messages, voice notes, numbers, times. Dates matter.
- Find the real lender. Your Key Fact Statement names the bank or NBFC. The app is not the lender.
- Complain in writing to the lender’s grievance officer. Every regulated lender must name one on its website. Mention the dates, times and what was said.
- Wait up to 30 days. If the lender rejects your complaint or doesn’t respond, escalate to the RBI Integrated Ombudsman at cms.rbi.org.in.
- Threats, extortion, morphed photos? That is a crime. Report it at cybercrime.gov.in or call 1930, and file a police complaint.
If the app is not on RBI’s Digital Lending Apps list at all, it may be an illegal lender. Report it on RBI’s Sachet portal (sachet.rbi.org.in) and the cybercrime portal. Do not pay into personal UPI IDs.
Don’t let the panic push you into another app loan
This is the trap: borrowing from App B to quiet App A. A week later App B wants its money too, often with fees that make the real yearly cost several times the interest rate.
One calm plan beats five panicked loans. List every loan, its lender, the amount due and the due date. Seeing the full picture is the first step out.
Several app loans and recovery calls piling up? See if one loan from an RBI-regulated lender could pay them off, so you deal with one lender and one EMI.
What you still need to do
Knowing your rights is not a way out of the debt. Missed EMIs are reported to credit bureaus by the lender and hurt your CIBIL score. The best protection is to:
- talk to the lender early and ask about restructuring or a payment plan,
- pay only through official channels named in your loan agreement,
- keep proof of every payment.
FAQs
Can a loan app call my family or friends?
RBI’s rules bar lending apps from accessing your contact list and bar recovery agents from intimidation and harassment. Calls designed to shame you in front of your contacts go against those rules. Complain to the lender and keep evidence.
Can they file a police case against me for not paying?
Not repaying a loan is generally a civil matter, though cheque bounce and fraud can have legal consequences. If you are threatened with arrest, ask for it in writing and get legal advice.
Will complaining hurt my CIBIL score?
No. Your CIBIL score depends on repayment history, not on complaints. Unpaid dues will still be reported, though.
Based on RBI’s press release on recovery agents (12 August 2022) and the RBI (Digital Lending) Directions, 2025. This article is general information, not legal advice. FundsTiger (Gatimaan Finance Advisors Pvt. Ltd.) is a loan marketplace and lending service provider for RBI-regulated lenders, including its related party Aparampaar Finance Pvt. Ltd. (Omozing).