Availing 'Clearance cenrtificate' from Co-op bank
Querist :
Anonymous
(Querist) 03 May 2011
This query is : Resolved
Dear Sir,
We had taken a loan of Rs.15 lacs from a co-operative bank in Maharashtra in 2005. We have repaid the bank's entire loan amount with interest for 5 yrs as calculated by the bank till, 2011, as Rs.27 lacs. Now after settling this entire amount on 28/3/2011, till today, as on 3/5/2011, the bank has not given us the 'Loan clearance letter' nor it has given us the clearance to 'Detach' our mortgaged properties by the bank for the said loan. The bank requested us to submit letters from all the loan applicants including the guarantors for cancelling the shares given by the bank and deposit those shares back to respective a/cs. After submitting all these letters also, the bank is not yet giving us the 'Loan Clearance' letter and NOC for taking back our attached property documents.
What could be our course of action on this situation? We smell some malafied intentions from the bank officials about this matter, kindly suggest us the suitable course of action.
Thanking you,
Jimmy
Guest
(Expert) 03 May 2011
Insead of requesting verbally, start bringing everything in writing, before you can issue a lawyer's notice to the bank. After clearance of loan, the bank has to return the original documents and clearance certificate also.
Chanchal Nag Chowdhury
(Expert) 03 May 2011
Threaten the Bank with litigation for damages. If this fails, file a case for damages in the Consumer court.
mathivanan
(Expert) 04 May 2011
The details submitted are not sufficient and clear, as 'we' means whom? What kind of loan? Period? etc., But as per the given details the bank cannot withhold any documents pertaining to the mortagage after the loan has been fully discharged. It is bound to return the same. Your remedy is manifold. 1) You can file a civil suit for return of documents along with damages. 2) can claim compensation for improper service rendered by the bank under the consumers' Protection Act. 3) You can file a criminal case for wrongfully withholding your property documents against the bank officials.
