Load against property

Adil (Querist) 25 May 2016 This query is : Resolved
Hello,

Thank you for your time and help.

I have taken a load against property from icici bank Lucknow. My property is in Agra but my residence is in Lucknow. I have taken the loan to start a business and some how things did not work the way I have planned. After 2 EMIs I am unable to pay the rest. And the entire loan amount is stuck in business which I can get back in 12-15 months time. But till then I cant pay my EMI due to other house hold expenses and kids education.
My questions are:

1: What action bank can take against me?
2: In case bank takes over my property in Agra after 3-6 months, Is there a way I can get it back by repaying the loan amount along with the interest? (In case I am able to get the amount stuck in business)
3: In how much time can bank take my property?

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Kumar Doab (Expert) 25 May 2016
Don't let it become NPA.

Arrange a buyer and thus funds and with consent of the bank clear the debt.

Or arrange funds and clear the debt and free your property.

Adil (Querist) 26 May 2016
Thank you for your reply Mr. Kumar. I do not wish to sell the property as it is of lot of emotional meaning to me. I just want to get it back from bank.

1: Usually in how much time can bank take over the property after taking loan?

2: Can they take the property without my consent?

3: How much time approx I can have to get my property back from the bank before they auction it?

Adil (Querist) 26 May 2016
Also, if someone know can u please let me know if bank can impose any additional cost on me other than that of loan interest and penalty?

Kumar Doab (Expert) 26 May 2016
M/s ICICI Bank is under obligation to supply, authenticated copies of:

Loan Brochure, Loan application, Loan approval, Loan agreement, Loan statement etc.................

The detailed T&C can be seen in all of these documents.

The Bank itself is under obligation to reply to all queries.

Borrower can transact in writing.

You may consult your own counsel in person, at your location.

Rajendra K Goyal (Expert) 26 May 2016
1:It can proceed with auction of the property under SERFAESI Act.

2:Depends on the Bank, most likely it would agree.

3: Depend on the bank, generally within a year.

4.: Loan recovery is not related to date of taking loan, it is related with date of loan becoming NPA (Non Performing Asset - in 1 to 3 months when EMI due and not paid, depend on case to case, as per RBI directives)

5.: No consent required / which borrower would like to give consent.

6.: You can pay and get back property before it is auctioned.

7. Bank imposes additional panel interest recovery expenses, legal expenses etc. along with compounded interest as per your agreement.