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srinivasarao   10 December 2015

Loan borrower is died

Hi,

My elder brother was doing a business and took 30 lakhs business loan from SBH. He submitted a house papers for security and that house is belongs to my mother, she is 70 years old depending on the house. Recently he (my elder brother) died due to health issue and business loss. After that I paid 17 lakhs, but still 13 lakhs pending to pay. The bank is adding interest in every month. 
Is there any way to come out of the situation as we he are not in a position to pay the rest of the amount and at the same time we are not ready to loose the house. I am from Andhra Pradesh state.

Thanks,
Srinivasa Rao



Learning

 5 Replies

Adv. Yogen Kakade (+ 91 9225510883)     10 December 2015

Apply to the bank authorities mentioning the facts and request for the maximum relief.

The loan recovery is a civil case and the liability remains even after the death of the borrower.

Adv. Yogen Kakade

Jurycon Incorporation

Advocates & Consultants
Email: juryconincorporation@gmail.com
Web: www.juryconn.in  

Kumar Doab (FIN)     10 December 2015

Until or unless your mother has signed the house that is not in the name of borrower can't be secured. Get the valuation of house done by approved valuers. Find a buyer and taking bank into confidence sell the house and clear the debt.This is another option. Or borrow from some other bank and clear the debt, under proper acknowledgment.

Adv. Sagar R. Jadhav (Proprietor)     10 December 2015

You must require to clear the said debts of the bank as the civil liability doenn't end with death of the borrower and therefore your mother will require to pay the same. 

Avail other option, like auction of the property and clear the said dues.

srinivasarao   10 December 2015

Thanks for all your valuable suggestions.

Can't I stop adding every month interest atleast for some months !.

 

Thanks,

Srinivas

Kumar Doab (FIN)     10 December 2015

Have you informed about death to bank in writing under proper acknowledgment?

Has the bank noticed the co-borrower, guarantor to pay?

 

You may better seek able counsel of a lawyer specialzing in such/banking/consumer matters in person and proceed further under expert advise of your counsel.


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