Banks, NBFCs can't use force, deceit to recover vehicle after loan default: SC

Supreme Court said banks and Non-Banking Financial Companies (NBFCs) cannot use force, deceit or any other unlawful means to recover vehicles after loan default. SC added that recovery agents must follow RBI guidelines and contractual safeguards for repossession. Repossession guidelines "have existed only on paper, and no steps have been taken by the RBI to implement it," SC further said.