RBI loan recovery rules 2027: What recovery agents can and cannot do

The Reserve Bank of India (RBI) has introduced new loan recovery rules for 2027, outlining the powers and limitations of recovery agents. These rules aim to balance the need for debt collection with consumer protection and fair business practices. The new regulations will likely impact the operations of non-banking financial companies (NBFCs) and banks, potentially affecting their ability to recover loans and manage risk.

Why it matters

The RBI is clarifying loan recovery rules to bring transparency and consistency. This could help reduce non-performing assets and improve investor confidence in Indian banks.

Market impact

Markets & countries in focus

Transmission channels

Likely winners & losers

Related coverage

• RBI invites public comments on draft rules to standardise how lenders set interest rates Economic Times · 2026-08-12
• RBI invites public comments on the draft Directions on ‘Credit Valuation Adjustment (CVA) Framework’ Reserve Bank of India · 2026-08-07
• RBI plans to bar NBFCs from offering revolving credit without approval Economic Times · 2026-08-06

Explore the intelligence

MeridStreet does not reproduce source articles. The summary and analysis above are generated by MeridStreet from public headlines and its own market model; the original reporting belongs to Economic Times. For information only — not financial advice.