MUMBAI: RBI has barred defaulting borrowers from buying back properties acquired by lenders to satisfy a defaulter's debt, tightening norms for resolution of stressed accounts under its new directions effective Oct 1, 2026. Defaulters and their related parties, as defined under the Insolvency and Bankruptcy Code, 2016, cannot repurchase such assets from any type of bank or finance company. The restriction applies even if the asset is reclassified or used by the lender later.