In India, you can legally seek repayment of money lent to a friend even if you did not sign a written agreement or take a promissory note. However, you must be able to show that the money was given as a loan and that your friend was expected to repay it. Bank records, UPI transactions, messages, and other supporting evidence may help establish your claim.
Key steps to recover your money
1. Collect and preserve evidence
Keep copies of all available records that may prove the loan:
- Bank transfer records: Bank statements, transfer receipts, and transaction reference numbers.
- UPI payment history: Payment confirmations and transaction IDs from apps such as Google Pay, PhonePe, or Paytm.
- WhatsApp and text messages: Conversations in which your friend acknowledges borrowing the money, promises repayment, or discusses the amount owed.
- Emails and call recordings: These may help support your claim, depending on their contents, authenticity, and how they were obtained.
- Witnesses: Anyone who directly witnessed the loan or heard your friend acknowledge the debt may be relevant.
- Part repayments: Records of any amount your friend has already repaid.
Preserve original messages and files, including dates and sender details. Avoid editing screenshots or deleting conversations. Electronic records may need to meet applicable evidentiary requirements before a court can rely on them.
2. Send a written repayment request
Before starting legal proceedings, send your friend a clear written request stating:
- The amount you lent.
- The approximate date and method of payment.
- Any agreed repayment date or terms.
- A reasonable deadline for repayment.
Keep a copy of the request and proof that it was delivered. A calm, written request may also encourage repayment without a court case.
3. Send a legal notice
If your friend continues to refuse repayment, consult an advocate about sending a legal notice. The notice can describe the loan, identify the supporting evidence, demand repayment within a specified period, and explain that legal proceedings may follow if payment is not made.
A signed loan agreement is not always necessary to send a legal notice or pursue a civil recovery claim. The strength of the case depends on the available evidence and the circumstances of the transaction.
4. File a civil recovery suit
If the money is still not repaid, you may approach the appropriate civil court to recover the outstanding amount.
The general process is:
- Consult a lawyer and organise your evidence.
- Prepare a plaint explaining the loan, the amount due, the repayment terms, and your attempts to recover it.
- File the suit in the court with the appropriate territorial and financial jurisdiction.
- The court issues the required process to the defendant.
- Both sides present evidence and arguments.
- If the court rules in your favour, you may seek enforcement of the decree if your friend still does not pay.
A lawyer can also assess whether a summary procedure is available in your particular case. It is not automatically available for every informal personal loan.
5. Understand the limitation period
The limitation period for many ordinary money-lending claims in India is three years, but the starting date depends on the nature of the loan and the applicable provision of the Limitation Act, 1963.
For example, claims for money lent and loans repayable on demand generally have a three-year period calculated from the date of the loan, rather than necessarily from the date you later ask for repayment. Different circumstances may produce a different result. 
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Indian Kanoon
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A written acknowledgment of the debt made by the borrower before the existing limitation period expires, or a qualifying part-payment, may affect the limitation calculation if the legal requirements are satisfied. Do not assume that sending a legal notice or making repeated demands automatically extends the deadline. 
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High Court of Tripura
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6. Can you file a police complaint?
A friend refusing to repay a genuine loan is generally a civil dispute and does not automatically amount to a criminal offence. However, if there is evidence of cheating, fraud, or dishonest intent from the beginning, criminal remedies may be relevant. The facts and available evidence matter.
Do not make false allegations or use threats to force repayment.
Practical checklist
- Save bank and UPI transaction records.
- Preserve messages showing that the money was a loan.
- Make a clear timeline of the loan and repayment requests.
- Keep proof of any part-payments or written acknowledgment.
- Send a written demand or consult a lawyer about a legal notice.
- Check the limitation deadline promptly.
- Consult a local advocate about filing a recovery suit.
