Hi Sir/Madam - I have taken the loan of 20.5Lac from One of the bank in 2008 to buy a flat in Hyderabad. I paid nearly 8 Lakhs towards interest/principle till 2011 May(+8 Lakhs Down paayment and Registration Charges). However, due to my personal issues I discontinued to pay the EMI and decided to leave the flat. I have informed each every personnel issues to bank regularly by written and oral. The account has Become NPA and bank has ceased my flat and ready to action. When i have recently discussed with bank authorities, My Outstanding Principle amount 19.8 Lakhs and 22 Months Interest for the principle i.e. around 5 lakhs. And they are planning to sell that flat for 16 to 17 lakhs. Now my Quetions are:
1. Most of my personnel issue are going to resolve soon aprtially, and ready to regularize the home loan. Is there any possible ways to convince the Bank for Reduce of Interest which they have charged during last 22 Months. As due to recession the property rates are came down now property market value will be less than 20Lakhs. So it is highly impossible me to Pay the 19.8L(Principle)+5L(Interest).
2. Please guide me how can i negotiate with bank to regularize the home loan for only for Principle amount( without Interest) as i am not able to pay interest in this situation and in future also?
3. How to tackle with bank to avoid any future litigations?
Thanks & Regards,