Bank asks to submit original documents along with housing loan application
Yaaros
(Querist) 22 September 2016
This query is : Resolved
SBI asks to submit all original documents including title deed along with housing loan application in the branch office. They told me that they can't even process my application without submitting original documents. So, should I receive acknowledgement for the same? If yes, any specific format for the same? or Just an acknowledgement specifying document names in bank letterhead is enough? Any rules regarding banks issuing receipts to customers while receiving original documents?
Kumar Doab
(Expert) 22 September 2016
Bank or lender can be flexible to obtain originals at the time of loan approval.
Certainly narrate all docs attached in loan application and obtain proper acknowledgment, on letterhead with seal/date and signature, of all originals submitted by you and collected by M/s SBI.
Rajendra K Goyal
(Expert) 22 September 2016
Original title deeds are required for getting title clearance report from legal adviser.
You should get proper acknowledgement of all documents submitted.
Guest
(Expert) 22 September 2016
Not a legal query. It is merely a procedural formality in between you and the bank to decide in which form of acknowledgement should be.
Moreover, if anyone suggests you some specific acknowledgment format, it is not obligatory for the bank to act according to your wishes.
Yaaros
(Querist) 22 September 2016
I would like to know whether the bank ie. sbi is legally bound to provide acknowledgement for the original documents they receive from customer.
When asked for receipt the branch manager is refusing to issue receipt saying they have no such procedure and told me to apply for loan only if ready to handover the originals without receipt.
In this case is there any legal provision to file a complaint against the bank?
cherukuri prasad
(Expert) 23 September 2016
It is not necessary to submit original documents at the time of applying for loan
Guest
(Expert) 23 September 2016
Your question, "whether the bank ie. sbi is legally bound to provide acknowledgement for the original documents they receive from customer' has no relevance until you face any problem on account of denial of acknowledgment by bank.
Kumar Doab
(Expert) 23 September 2016
You have posted that:
"When asked for receipt the branch manager is refusing to issue receipt saying they have no such procedure and told me to apply for loan only if ready to handover the originals without receipt."
It is strange!
Did you record it?
BM can not decline.
Rajendra K Goyal
(Expert) 23 September 2016
Meet / talk to / send e-mail to the higher officials of the Bank, it can not refuse acknowledgement while receiving original document.
Rajendra K Goyal
(Expert) 23 September 2016
Meet / talk to / send e-mail to the higher officials of the Bank, it can not refuse acknowledgement while receiving original document.
Rajendra K Goyal
(Expert) 23 September 2016
Meet / talk to / send e-mail to the higher officials of the Bank, it can not refuse acknowledgement while receiving original document.
Rajendra K Goyal
(Expert) 24 September 2016
Sorry due to net problem, above reply was repeated.
However, if the loan has been sanctioned and equitable mortgage is to be done at the time of disbursement, Bank may not issue acknowledgement, would enter in recital register the fact of handing over of title deeds. You can note down the particulars (volume, page no., date etc.), later SBI get confirmation from you regarding deposit of title deed for loan through registered letter.
Any signature from you on recital register may attract ad-volerum stamp duty.
Raj Kumar Makkad
(Expert) 25 September 2016
The question of sanction of loan do not arise when the application of the author has not been processed for want of original documents against which no receipt is being provided to him.
Generally banker do provide acknowledgment if manager is refusing, meet higher officials and lastly to bankers ombudsman.
Guest
(Expert) 25 September 2016
But a pertinent question arises, when the SBI is not cooperating you, why to hanker after that bank, why not try ome other banker?
Kumar Doab
(Expert) 25 September 2016
The regulators, Code Compliance Officers ( BCSBI), IBA issue specific guidelines that Bank sand bankers are under obligation to comply.
You can write to Chairman of M/s SBI:
http://www.iba.org.in/meminfo.asp?id=6&cid=1
Kumar Doab
(Expert) 25 September 2016
Will the bank give the borrower copies of the documents / loan agreement he has executed while availing the loan?
Banks are required to give the borrower authenticated copies of all the loan documents executed by him / her along with a copy each of all enclosures quoted in the loan document.
http://www.bcsbi.org.in/FAQ_Lending.html
Rajendra K Goyal
(Expert) 25 September 2016
Generally the loan in SBI is processed at processing centers, if so meet the AGM of the center or if application is to be submitted at branch meet Branch manager / AGM (Asstt. General Manager of the Region) should send email to AGM, DGM, GM, CGM and chairman of the Bank. Result would outcome in 2-3 days.
However, originals even if submitted, without acknowledgement, are kept with safety and there are negligible / rather nil chances of misplacing.
Kumar Doab
(Expert) 25 September 2016
Expert Mr. GOyal is right.
The AGM in loan processing center can be approached.
Rajendra K Goyal
(Expert) 27 September 2016
Kumar sir,
Not only AGM in loan processing center but e-mail should also be forwarded to more higher officials i.e. Deputy General Manager, General Manager, Chief General Manager and chairman of the Bank to have definite and immediate result.
Kumar Doab
(Expert) 27 September 2016
Certainly Goyal Sir. Fully agreed with you.
I have already provided the link to reach Chairman.
"You can write to Chairman of M/s SBI:
http://www.iba.org.in/meminfo.asp?id=6&cid=1"
Rest he can obtain from bank's website/offices also.
As already made clear by you, within days , he will get PROPER response.
Rajendra K Goyal
(Expert) 27 September 2016
Expert Kumar Doab sir,
Thanks for agreeing.
Prakash Ramchandani
(Expert) 28 September 2016
where is the problem if you submit original documents to bank, because you will definitely get acknowledgement in personal,, so the query is ... you are not interested to submit to bank...
bank can verify from original and will proceed fast.. now you shall have faith in them
N.K.Assumi
(Expert) 24 June 2017
Nothing to add after the experts responds of R.K.Makkad and R.K.Goyal.
