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AI Collections Calls in India: RBI's Rules Are Not the Ones You Have Been Quoted

There are two calling windows, not one

The widely circulated recovery calling window of 8:00 a.m. to 7:00 p.m. applies to general lending. However, microfinance loans operate under a distinctly different timeframe. According to RBI's Responsible Business Conduct Directions, microfinance borrowers can only be contacted between 9:00 a.m. and 6:00 p.m.

Calling a microfinance borrower at 6:30 p.m. isn't merely outside operating hours — it's officially classified as a harsh practice.

Where the rules differ by lender type

Requirements presented as universal across the industry actually vary considerably:

Requirement Banks NBFCs
IIBF certification for recovery agents Mandatory Not in the Directions
Call recording Required No equivalent requirement
Calling window 8:00–19:00 (microfinance excluded) 8:00–19:00 (microfinance excluded)
Microfinance window 9:00–18:00 9:00–18:00

Banks must ensure recovery agents complete the Indian Institute of Banking and Finance certificate course, while NBFC Directions specify only due diligence and police verification. Banks require call recordings with borrower notification; NBFCs face no such mandate.

What RBI says about AI collections calls

RBI's Responsible Business Conduct Directions contain no reference to artificial intelligence, automated calling, voice bots, or synthetic voices. The regulatory framework addresses human agents exclusively and hasn't been updated for automation technology.

The absence of specific guidance means automated calls inherit all requirements written for people: calling windows, prohibitions against persistent contact, and other behavioral standards.

One potential distinction exists around the prohibition against "making threatening and/or anonymous calls." Whether a synthetic voice call qualifies as anonymous remains judicially unresolved.

AI collections calls do not move liability

Outsourcing recovery functions doesn't transfer regulatory responsibility. Banks and NBFCs remain liable for their service providers' actions regardless of whether contact is human or automated.

Under the Reserve Bank–Integrated Ombudsman Scheme 2026, RBI can award compensation up to ₹30 lakh for consequential losses, plus up to ₹3 lakh for "loss of the complainant's time, expenses incurred, harassment/mental anguish suffered."

What to establish before you buy

  • Which regulatory instrument governs your portfolio
  • Whether any portion qualifies as microfinance requiring the 9:00–18:00 window
  • Whether platforms can enforce different windows for different segments
  • How your organization defines "persistent calling"
  • Recording and borrower notification requirements
  • Internal authorization for meeting anonymity prohibitions

The segment-level calling window represents the most critical verification point. A platform unable to enforce 9:00–18:00 for microfinance while running 8:00–19:00 elsewhere cannot serve mixed portfolios.

Where we stand

RBI has not published guidance confirming automated recovery calling compliance. Vendors cannot represent automation as compliant on RBI's authority. Compliance obligations depend on individual licenses and portfolio composition.

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