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m agarwal   05 September 2016

Mortgaged Properties,Principal Repaid,Interest Due

Dear Sir/Mam, 

My 2 properties are mortgaged to SBI, Property Value- approx 70 + 10=80 lakhs INR. Principal Outstanding is almost repaid. Due Date for Final Closure (the Bank Settlement was done 2yrs back after Newspaper Notice) - 20th September 2016. My queries are- Once Principal is repaid fully, and Interest amount of around 10 lakhs will be remaining, will the bank be able to acquire my properties as I won't be able to repay the interest within time. or, once Principal is repaid, no need to worry and bank can waive off the Interest or give another 6 months or so to repay the Interest. is it possible to get clear papers of that 2nd property of 10 lakhs from Bank whereas, 70 lakhs property will be held/mortgaged to bank till I pay back the Interest. Thanks 



Learning

 10 Replies

Kumar Doab (FIN)     05 September 2016

It shall be better to show all dcos on record to avery able counsel well versed with banking matters for a considered opinion.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

Yogita Kukreja   06 September 2016

Hi, As per my understanding, your two properties should have 2 different loans against them. So if the one with 10L amount is cleared with interest, you can get NOC for that property. And as far as the 2nd one is concerned, you need to repay the outstanding interest or bank can reposses and auction it. But here, bank won't take the whole value of that property, it will just collect its outstandings and remaining money needs to be given to you. Also, before auction stage, bank will give you ample amount of notifications and time to repay the outstandings. If you are financially not able to pay the outstandings as of now, you can ask the bank to restructure your loan wherein you'll get increased but here too you'll need to pay some extra amount as an interest on the outstandings.

m agarwal   08 September 2016

Thanks mam for the reply.

Mam, It's for a single loan, in which my 2 properties are mortgaged. Interest Amount remaining is only 8 lakhs. Principal will be paid within due date. is it not possible to get the NOC for 10 lakh property. and keep the major property mortgaged. as i need to sell the 10 lakh property immediately to arrange repayment funds. 


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