KCC loan defaulter

Dear Client,

A son is not personally liable to repay the loan taken by his father if the son has not acted as a guarantor, co-borrower, or legal representative in the loan transaction. If your father had taken the KCC (Kisan Credit Card) loan individually and you were not connected with the loan documents, then the bank cannot ordinarily recover the loan amount from your self-acquired property or personal assets merely because you are his son.

If your father has been declared a loan defaulter, the bank may proceed against his own assets, agricultural land, mortgaged property, or any property standing in his name. However, if there is any ancestral property in which your father has a share, the bank may take legal steps against his share in such property, subject to law.

Since you are living separately and no property has been transferred to your name by your father, recovery from your independent property is generally not legally permissible unless you have given any guarantee/security to the bank.

You should, however, verify whether your name appears anywhere in the loan account documents as guarantor, co-applicant, or nominee.

For further legal assistance contact an Advocate.