Report the mismatch immediately through the lender’s official channel. State the sanctioned borrower account, the account shown in the disbursement record, the amount, date and transaction reference. Ask the lender to freeze further processing where possible, trace the transfer and confirm how repayment reporting will be protected while the error is investigated.
Preserve the disbursement trail
- Sanction letter, KFS and signed agreement.
- The bank account you authorised for receipt.
- Disbursement SMS, email, statement and transaction reference.
- Any screen or form that showed the beneficiary account before acceptance.
- Your complaint number, time, channel and staff response.
Do not send OTPs, PINs or remote-access permissions to a person claiming they can reverse the loan. Use only the lender’s verified app, website, branch or published grievance contact.
Identify what kind of error occurred
A typo in the borrower account, a lender-side beneficiary substitution, a disbursement to an end-beneficiary for a documented specific purpose, and an unknown third-party transfer are different cases. Digital-lending rules generally require disbursement to the borrower’s bank account, with limited exceptions such as a specific end-use paid directly to the end-beneficiary. Ask the lender to identify the exception and documentary basis if it claims one.
Keep repayment and credit reporting separate from recovery
Do not assume that an incorrect destination automatically cancels the loan contract or future reporting. Ask in writing whether an EMI mandate is active, when the first payment is due, and what temporary protection will be applied to late-payment or credit-bureau reporting while the complaint is unresolved. Do not sign a fresh loan or “replacement” agreement unless the old exposure and wrong transfer are clearly accounted for.
Use a precise written remedy
Request: confirmation of the destination account, a trace or recall attempt, restoration or correct disbursement, a corrected ledger, protection from charges caused by the error, and a written timeline. If money reached an account you control but did not expect, do not move or spend it until the lender gives written instructions.
Escalate safely
Escalate to the regulated entity’s grievance officer with all evidence. Digital-lending rules keep responsibility with the regulated lender even where a lending service provider or app was involved. If the regulated entity does not resolve an eligible complaint through its process, RBI CMS may be available after the required waiting/response stage.
Official references
- RBI — Guidelines on Digital Lending — disbursement destinations, KFS, grievance responsibility and direct lender-account servicing.
- RBI — Key Facts Statement for Loans and Advances — disclosed loan terms and charges.
- RBI Complaint Management System — official escalation entry point for eligible cases.