Can recovery agents take gold, furniture or a bike from your home?

No, recovery agents cannot take your gold, furniture, phone or other belongings for an unsecured loan such as a personal loan or credit card. Property can be attached only through a court process. A financed bike or car is different, because the lender may have a right to take it back under the loan agreement, but not by force. This guide is for borrowers and families who have been threatened with seizure.

Can recovery agents take your things? It depends on the loan

Gold and jewellery at home

Gold you keep at home is not security for a personal loan. An agent cannot demand it, take it or search for it. If you took a gold loan, the security is the gold already held by the lender. Your other jewellery is not part of it. Do not hand over gold to an agent 'for safe keeping' or as informal security.

Furniture, TV, phone and other household goods

Household goods cannot be taken by an agent. A creditor who wins in court can apply to attach property, and a court officer then carries out that order. Section 60 of the Code of Civil Procedure also protects certain items from attachment, such as necessary clothing, cooking vessels and beds. An agent saying 'we will take your furniture' has no such power, and RBI's 2026 Directions ban false statements about the consequences of non-repayment.

Can a lender lock your phone?

RBI's Directions of 6 August 2026 deal with this directly. From 1 January 2027, a lender may restrict a mobile device only to recover a loan that financed that same device, and only under conditions. They include notice, no restriction before 30 days past due, and no restricting incoming calls, SMS or emergency features.

Can agents take your bike or car?

If the vehicle was bought with the loan, the lender may have a right to take it back under the agreement. The Supreme Court has said in ICICI Bank v. Prakash Kaur (2007) that banks must follow the law when recovering, and not use muscle power. RBI's 2026 Directions add that loan agreements must set out the notice period, the procedure for taking possession, a final chance to repay before sale, and the procedure for sale.

If your vehicle is being repossessed

1. 1Check that the vehicle is really the one financed by that lender, and for that loan.
2. 2Ask for ID, the authorisation letter and the notice. Take photos and note the vehicle's condition and contents.
3. 3Do not use force. If you are stopped by force or threatened on the road, call 112.
4. 4Remove your personal belongings, and record what is inside.
5. 5Ask for a receipt or inventory, and the yard location, in writing.
6. 6Write to the lender the same day for the amount due, and how to get the vehicle back before sale.

A bike that was not financed by that lender, or that belongs to someone else, is not covered by this right. Taking it would be a matter for the police.

What to do if agents take your belongings

1. 1Do not physically fight. Call 112 and stay safe.
2. 2Write a list of what was taken, with photos, bills and witnesses.
3. 3File a police complaint. Taking property by force or fear may amount to theft, extortion or robbery under the Bharatiya Nyaya Sanhita, depending on the facts.
4. 4Complain in writing to the lender's grievance redressal officer, and then to the RBI Ombudsman if not resolved in 30 days.

Conclusion: recovery agents cannot simply take your gold or furniture

Recovery agents cannot take your gold, furniture or other belongings for an unsecured loan, and threats to do so can be reported. A financed vehicle is the main exception, and even there the process must be followed. If you are being threatened with seizure, our legal experts can check your agreement and help you respond to the lender in writing.