Will Your Phone, Laptop, or Tablet Get Locked If You Miss an EMI? Know the New RBI Guidelines
UdaipurTimes, August 07, 2026 | Technology Updates: After buying a smartphone, laptop, tab on EMI, if someone misses their EMI in any month, it is seen that the concerned finance company or bank is locking the smartphone, laptop, tab bought on finance. That is, the customer is no longer able to use that device. The Reserve Bank (RBI) is now taking strict steps to stop this practice.
What kind of service can be controlled if the EMI of a mobile, laptop, tablet is missed and if the service is locked even after paying the outstanding loan or the customer faces any difficulty in using that device, then the customer will have to pay compensation to the concerned finance company or bank. Strict guidelines on loan recovery are coming into effect from January 1, 2027 in the new framework of RBI. In this case, relief is being given to the borrower in many cases.
Locking the relevant device using technology-based mechanisms
RBI has observed that if a customer buys a device on EMI and misses the EMI in a month, financial institutions are using technology-based mechanisms to lock the relevant device or restrict the service. As a result, the common man is facing a lot of inconvenience. Guidelines are being given on what steps can be taken if the EMI of an electronic device is missed. At the same time, the new guidelines have also been said so that the customer can use the device smoothly after paying the dues.
Can a finance company or bank lock a device?
RBI has informed that remote restriction technology can be used only in cases where a loan has been taken to buy the relevant smartphone, tablet or laptop. That is, if you have taken a personal loan, consumer loan or any loan that is not directly related to the purchase of a smartphone, tablet or laptop, then the lending institution will not be able to remotely turn off or deactivate the device you are using on the pretext of debt collection. However, only if the loan account is overdue for more than 30 days, then only the device service can be controlled. Immediate action cannot be taken only if an EMI is missed.
Complete restriction on the device if it is overdue for 60 days
A complete remote ban can be imposed on a device purchased through finance only if the EMI is overdue for 60 days. That is, even after the initial or partial ban is imposed, the borrower will get some more time. Only if the dues are not paid within this additional period, the lending institution can take steps to completely lock or disable the smartphone, tablet or laptop.
Which services cannot be locked?
A device cannot be completely locked if an EMI is missed. The services that must be kept running are incoming calls, SMS service, emergency communication or SOS function.
