Abu 13 March 2025

Personal loan property attachment

Personal loan EMI soon to be in default

I have taken 2 pre-approved, Unsecured personal loans from a bank, it was from the bank's app and pre approved because of my good history.

The loan amount total now is 6.5 lakhs

But because of the job loss, i am unable to pay the EMI and soon i fear my loans will become NPA

My question is, i built a small house using the personal loan money in a small property of around 3 cents which is jointly owned by me and my wife. And my wife was not a guarantee to the loan anyway and the loas have no collateral.

I heard the bank can file a recovery suit and get a decree and attach the defaulter property.

This is the only property we have where my wife and 3 children live.

So my question is if bank files execution, they can take the property even though my wife also jointly owns it?

This small land cannot be partitioned because the house is in the middle and spans almost the entire property.

Do i have any defense in this or is it sure the property will be lost and me, my wife and 3 children will be on the road?

Also i would like to know how long normally it takes to pass a decree and pass an execution order for property attachment?

Can the CPC 60 (primary residence protectio

n) be applied here?

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Quick Summary

This discussion concerns the potential attachment of a jointly owned property used as a primary residence following a personal loan default. The user fears their bank may file a recovery suit and attach the property, even though it's co-owned with their wife and houses their family. The conversation touches upon the possibility of property seizure, legal defenses like CPC 60 for primary residence protection, and the typical timelines for legal proceedings.