Claims of loan after 5 years
hage nibo
(Querist) 26 January 2013
This query is : Resolved
Res. Learned Members,
I availed consumer loan of Rs. 49000/- in the year 2001 from central bank.I cleared the loan amount with interest in the year 2007. In that time I inquired in the Bank whether all my loan along with accrued interest have been repaid in total. Bank official clarified that there was no my name in the defaulting list then. So, I thought I was clear, but forgot to demand clearance certificate from the Bank.
Now, after lapse of more than 5 years my surety/guarantor/employer has been issued with a notice to deposit 16,000/ through NEFT as due against my already cleared loan. What should I do?
ANIL KUMAR 8867907494
(Expert) 26 January 2013
It is illegal on the part of bank issue legal notice to bank to rectify the error and also give complaint against bank to the banking ombudsman
prabhakar singh
(Expert) 26 January 2013
Any such loan(even if due) can not be realized after lapse of 3 years.Here in your case from 2007 a period of 6 or at least 5 years have passed.The claim is time barred.Notice of realization is illegal.It can not be realized either from you or from surety .So both of you should stay cool.Do not even reply the notice.Do not now sign any admission or promise to pay document on persuasion of the bank,doing so shall revive the liability for a fresh period of three years.
prabhakar singh
(Expert) 26 January 2013
It is no SIN on the part of the creditor to make duns from his debtor to pay even time barred debt.A right is right which never dies.Law of limitation only checks it's legal enforcement by a suit.Other wise even time barred debt could be paid honestly and no illegality would be caused.
Hence I disagree with advise to lodge any complaint before any body.
V R SHROFF
(Expert) 26 January 2013
Let 's see bank can or cannot recover ...
CBI do make blunders or come to Legal point ?
May plead, our limitation is 8 years!!
ajay sethi
(Expert) 26 January 2013
claim appears to be barred by limitation . payment has been made in 2007 . demnd raised now after 5 years is barred by limitation
M V Gupta
(Expert) 26 January 2013
The querist should verify if he had signed any account statement issued by the Bank at any time after 2007. Banks are required to issue account statement to their clients in respect of their loan accounts once in a year. These statements apart form indicating the outstanding amount in the loan account also contain statement of confirmation of the debt. If the querist has signed any such statement, then the limitation would be saved.
Anirudh
(Expert) 26 January 2013
There are several aspects to the facts revealed by the querist.
1. The statement by the bank that the querist's name is not in the 'default list' does not mean that there was nothing outstanding against his name.
2. Such accounts maintained with the bank are running account, and the limitation, as per Article 1 of Schedule-I, starts from the close of the year in which the last item admitted or proved is entered in the account, such year to be computed as in the account.
3. Therefore, to say that (i) the act of the bank is illegal or that (ii) or the claim by the bank is hit by limitation would be too premature unless one examines the documents and real facts.
hage nibo
(Querist) 26 January 2013
Thanks for suggestive comments to all the experts. But, Shroff Sir, I am unable to follow,"May plead, our limitation is 8 years" put forward by you. Will you please!!!
ajay sethi
(Expert) 27 January 2013
in lighter vein mr shroff has stated that bank may take the plea that limitation period is 8 years .
you have not naswered the queries raised mr gupta have you signed any stament of account confirming the balance due and payable . it is better you consult a local lawyer . show him your papers and take his opinion
V R SHROFF
(Expert) 27 January 2013
Let the matter proceed, why shd u proceed or worry??
After all, it is civil matter, and u hv right to defend ur self at that time.
Let' s see the pleading of Bank; how they explain Limitation??
