Loan app
5 months ago
Is it legal loan app recovery agent visit home?
And
If we didn't repay loan amount in time and can we ask time for repayment???
A.Dear Client,
The regulatory authority RBI has strictly prohibited the use of abusive language, intimidation, or any form of harassment in the loan recovery process. Borrowers have the right to be treated with dignity and respect. The Recovery Agents should carry proper identification, maintain decorum, and act within the legal framework. The RBI guidelines emphasize that the recovery process should be fair and not oppress borrowers. In the case of Magma Fincorp Ltd. v. Rajesh Kumar Tiwari, (2020) 10 SCC 399, the Supreme Court had “banned taking over possession by recourse to physical violence, assault and/or criminal intimidation by deploying recovery agents by the lender unless they obtained appropriate order in accordance with law and such orders were required to be executed only in accordance with the law. These guidelines of RBI promote transparency, fairness, and ethical practices in the loan recovery process, protecting the rights and interests of all parties involved. In case you face any threat or harassment from the Debt Recovery Agents of the Bank, you need to make a written complaint to the local police station against the recovery agents and inform the concerned Bank attaching a copy of the complaint made to the local Police Station and file a criminal suit u/s.503 of IPC against the recovery agents and the concerned Bank. Apart, file an online complaint for the same cause of action to the Grievance Cell of RBI in the web link: https://cms.rbi.org.in/cms or contact RBI Toll-Free Number 14448 and lodge a complaint over alleged harassment by recovery agents of the concerned Bank. Alternatively, an email can be sent to [email protected] stating the grievance/complaint in detail. Further, a quick counseling session with a certified credit counselor can help you to discover your options and choose the right path forward to repay your debt.
The regulatory authority RBI has strictly prohibited the use of abusive language, intimidation, or any form of harassment in the loan recovery process. Borrowers have the right to be treated with dignity and respect. The Recovery Agents should carry proper identification, maintain decorum, and act within the legal framework. The RBI guidelines emphasize that the recovery process should be fair and not oppress borrowers. In the case of Magma Fincorp Ltd. v. Rajesh Kumar Tiwari, (2020) 10 SCC 399, the Supreme Court had “banned taking over possession by recourse to physical violence, assault and/or criminal intimidation by deploying recovery agents by the lender unless they obtained appropriate order in accordance with law and such orders were required to be executed only in accordance with the law. These guidelines of RBI promote transparency, fairness, and ethical practices in the loan recovery process, protecting the rights and interests of all parties involved. In case you face any threat or harassment from the Debt Recovery Agents of the Bank, you need to make a written complaint to the local police station against the recovery agents and inform the concerned Bank attaching a copy of the complaint made to the local Police Station and file a criminal suit u/s.503 of IPC against the recovery agents and the concerned Bank. Apart, file an online complaint for the same cause of action to the Grievance Cell of RBI in the web link: https://cms.rbi.org.in/cms or contact RBI Toll-Free Number 14448 and lodge a complaint over alleged harassment by recovery agents of the concerned Bank. Alternatively, an email can be sent to [email protected] stating the grievance/complaint in detail. Further, a quick counseling session with a certified credit counselor can help you to discover your options and choose the right path forward to repay your debt.
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A.Dear Client,
The use of force or harassment by recovery agents is prohibited. Lenders are expected to follow ethical practices, and they cannot seize assets without following the legal process. According to the RBI, recovery agents cannot harass or use forceful means to recover loans. They are required to follow fair practices and maintain dignity in their interactions with borrowers. You can file a police complaint if you feel harassed or threatened. If you are unable to repay your loan amount on time, you can contact your bank or financial institution and request an extension. The bank may be willing to grant you an extension if you have a genuine reason for not being able to repay the loan on time. Come up with a plan for how you will repay the loan, including the amount you will repay each month and the date you expect to repay the loan in full.
The use of force or harassment by recovery agents is prohibited. Lenders are expected to follow ethical practices, and they cannot seize assets without following the legal process. According to the RBI, recovery agents cannot harass or use forceful means to recover loans. They are required to follow fair practices and maintain dignity in their interactions with borrowers. You can file a police complaint if you feel harassed or threatened. If you are unable to repay your loan amount on time, you can contact your bank or financial institution and request an extension. The bank may be willing to grant you an extension if you have a genuine reason for not being able to repay the loan on time. Come up with a plan for how you will repay the loan, including the amount you will repay each month and the date you expect to repay the loan in full.
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