Last updated 12 Nov 2026
As a borrower from a regulated bank or finance company in India, you have the right to know the full cost of a loan before you sign, to be treated fairly, to have your data handled with your consent, to repay early on stated terms, to get your original documents back after you repay, and to complain without being harassed. If the lender does not resolve a complaint, you can take it to the Reserve Bank of India's Integrated Ombudsman. This guide sets out each right and the exact steps to use it.
It is general information, not legal advice. Rules are issued by RBI and other regulators and are revised. When you complain, quote your loan number and the clause or date you rely on, and keep every record.
Your rights, in plain words
Rights across the life of a loan
| Stage | Your right | What to ask for |
|---|---|---|
| Before you apply | Clear information about rates, fees and eligibility; no pressure | The rate card and the Key Fact Statement |
| Before you sign | The Key Fact Statement and the loan agreement in a language you understand | Copies of both, with all annexures |
| Consent and data | Explicit consent for what data is collected and shared; the right to withdraw it | The lender's consent record and privacy notice |
| Disbursal | Money paid into your own bank account, not a third party's | Your disbursal confirmation |
| During the loan | Statements, notice of rate changes, fair treatment if you fall behind | Statement of account; reset communication |
| Repayment and exit | Part-payment and foreclosure on stated terms; a closure statement | Foreclosure statement and closure letter |
| After closure | Return of original documents and a release of charge, within the period the rules set | NOC and your documents |
| Complaints | A grievance officer and a timely reply; a route to the Ombudsman | A complaint reference number |
The Key Fact Statement and cooling-off period
Before you sign, the lender must give you a Key Fact Statement that shows the loan amount, the repayment schedule, every charge in rupees and the APR. For loans given through digital channels, you also get a cooling-off period, set by each lender and not shorter than one day, in which you can exit by repaying the principal and the interest for the days you used the money. Read Key Fact Statement and APR.
Fair treatment if you fall behind
A lender may charge penal charges for a missed payment and may report it to the credit bureaus. But it must not harass you. Recovery calls should be at reasonable hours, from people who identify themselves and the lender, and without threats, abuse, or contacting your family and friends to shame you. Recovery agents act for the lender, and the lender is responsible for what they do.
- Keep a log of calls and messages: date, time, number and what was said.
- Save screenshots and recordings you are legally able to keep.
- Tell the lender in writing that you want to discuss a repayment plan.
- If conduct crosses the line, complain to the lender's grievance officer and then to the Ombudsman. If a threat is made to your safety, contact the police.
Read Missed EMI consequences for what the lender can and cannot do after a missed payment.
Charges you can question
Charges and what to check
| Charge | What to check |
|---|---|
| Processing fee | Set by the lender and shown in the Key Fact Statement; ask when it is taken and whether it is refunded if you cancel |
| Penal charges | They should be a stated amount for the default, not added to the principal so that interest runs on them |
| Foreclosure and part-payment | Ask whether the charge applies to your loan; rules differ for loans on floating and fixed rates and for business borrowers |
| Charges not in your agreement | You can ask the lender to point to the clause; if there is none, dispute the charge in writing |
| Insurance and add-ons | Ask whether they are optional, and do not accept them as a hidden condition |
Getting your documents back after you repay
When you repay in full, the lender should issue a closure letter and a no-objection certificate, release its charge on any asset, and return original documents such as property papers within the period set by the rules. If the lender delays beyond that period without a good reason, RBI rules provide for compensation for each day of delay. The detailed steps are in How to get your NOC.
Your credit information
You can see your credit report, dispute errors with the bureau and the lender, and expect a timely correction. If a dispute drags on past the period the rules set, compensation can be due. Read Credit score and credit report.
How to raise a complaint, step by step
The complaint route
| Step | What to do | Keep |
|---|---|---|
| 1. Write to the lender | Send a clear, dated complaint to customer care. State your loan number, the problem, what you want and a date to reply. Ask for a complaint reference number. | Reference number, copy of what you sent |
| 2. Escalate within the lender | If you are not satisfied, write to the grievance officer or nodal officer named in your Key Fact Statement. | Names, dates and replies |
| 3. Wait for the reply period | Lenders have a set period to reply, stated in their policy. Note the date. | A calendar note |
| 4. Go to the RBI Integrated Ombudsman | For banks, non-banking finance companies and some other regulated entities, file online at the RBI complaint portal after the lender has rejected your complaint or has not replied within the period the scheme sets. | Complaint number, all attachments |
| 5. Other routes | For a consumer dispute, a consumer commission; for a crime, the police; for securities or depository issues, the SEBI route. | Case numbers |
If you applied through LOANZ 360, you can also write to its grievance page. LOANZ 360 is a loan aggregator, not a lender: it can help trace your file, but the lender decides loans and charges. See your data for how to ask about, correct or remove your personal data.
What to put in your complaint
- Your name as on the loan, the loan or application number, and the lender's name.
- What happened, in order, with dates.
- The clause, charge or promise you rely on, and a copy of the document.
- What you want: a refund, a correction, a document, an apology or a revised statement.
- A reasonable date for the reply.
- Copies of earlier messages, statements and receipts.
Digital lending safety
Use apps and platforms carefully. A regulated digital lending platform must show you the lender's name, take clear consent, and pay the loan into your own account. It should not read your contacts or call logs. If an app asks for these, treat it as a warning sign. A listing in an RBI directory of apps shows that an app is listed, not that it is endorsed. Read Digital lending safety.
Frequently asked questions
Who do I complain to first about a loan?
Start with the lender's customer care and ask for a complaint reference. If that fails, write to the grievance officer named in your Key Fact Statement. Only after that, go to the RBI Integrated Ombudsman.
How long does the lender have to reply?
Each lender states its reply period in its policy and in the Key Fact Statement. The Ombudsman scheme allows you to approach it if the lender rejects your complaint or does not reply within the period the scheme sets, commonly 30 days. Check the current rule.
Does the RBI Ombudsman take a fee for a complaint?
The RBI Integrated Ombudsman scheme is designed to be simple for the public to use. Check the portal for any cost and for the current process before you file.
Can a recovery agent call my family or employer?
Lenders and their agents must not harass you or shame you in front of others. Contact should be limited to you, at reasonable hours. If it crosses the line, keep a log and complain to the grievance officer.
What if the lender will not give back my property papers?
Write to the lender asking for the documents and the release of charge, quoting your closure letter. If the delay goes beyond the period in the rules, ask about the compensation due and escalate to the grievance officer and the Ombudsman.
Can I withdraw my consent to share my data?
Yes. Consent can be withdrawn as easily as it was given, though the lender may keep what the law requires. Write to the lender and to the platform and ask for confirmation.
Related reading: Key Fact Statement and APR, How to get your NOC, Loan settlement vs loan closure, Missed EMI consequences, Digital lending safety, Credit score and credit report, Borrower rights page, Grievance, Your data, Cooling-off period.