sarfesi act
3 years ago
For a home loan default, can a bank ask for repayment of full liability in 7 days or do they have to go strictly according to SARFESI act? That is, in order to act against defaulter, is it correct to say that bank has to proceed strictly according to SARFESI act and not any other way whatsoever (barring cheque bounce case)? Now in case SARFESI act is invoked by bank, for the 60 day notice, how much overdue amount will be asked for? Entire unpaid principal amount plus charges etc., or only the last 'n' EMIs missed by the borrower? Can the borrower submit that he will pay the 'n' EMIs missed (taking into account the 60 days), and continue to pay the EMIs as per current schedule thereafter, when the 60 days notice comes? Or will he have to pay up the entire remaining principal amount plus charges or lose the property ?
Sidhaarth
Responded 3 years ago
This depends on the facts of each case. The bank cannot ask for the full amount to be repaid in seven days.
They can however, attempt to recover whatever amount of the principal is outstanding, along with interest and fees for late payments.
If you found this helpful, please rate us.
Ayantika Mondal @ Prime Legal
Responded 3 years ago
This depends on the facts of each case. They cannot ask to repay the full amount in seven days, but they can claim the entire amount with interest, and penalties for late payment. They cannot ask you to pay whatever amount you have already paid.
If you found this helpful, please rate us.
Multiple unsecured loan defaults
Unfreeze
For bank loan
Bankruptcy and Debt
Strong Legal Notice--Recovery of amount
