RBI Guidelines for Education Loan Recovery

When a borrower defaults on repayment, the bank or NBFC must send them a Notice of Default.  

For transparency and fairness, lenders must adhere to the Fair Practices Code.

Harassment and intimidation cannot be used by lenders to recover the unpaid loan amount.

In case lenders want to engage recovery agents, they must comply with the Code of Conduct laid down by the RBI.

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