Default in Co-operative bank Loan
Querist :
Anonymous
(Querist) 05 August 2010
This query is : Resolved
Dear Sir, My mother started a shop nearly 10-12 years ago who was the member of co-operative bank & took a loan(Jaat Jamin) of Rs. 39900 on 1/12/00 @ 13.5% of interest rate to be repaid in 6 monthly installment of 6650 + interest.. Within 3 yrs she paid Rs. 21400/- & Rs. 3000 on 15/09/06 & Rs.5000 on 23/7/10 (Total Rs.28400).. We closed the shop in 2004 due to loss when she informed to settled the loan account but they did not responds..
She went 2-3 times for settlement but they used badwords & insulted her hence she stopped visiting bank. Further we just got 2-3 notice regarding payment of loan from bank but not a single notice regarding settlement of loan. Now after many years they came back with statement which doesnt show any amount deducted from Principle amount & asking for outstanding Amount of Rs. 80,334/-..Or else they were asking to pick up all house hold goods which are mostly purchased by me.
Pls. advice on these. Are they authorized to take goods of mine ?
Pls. pls. advice me so that we can clear out this matter.
B K Raghavendra Rao
(Expert) 05 August 2010
Your goods cannot be taken by them just like that. They have to recover the loan amount from you only through process of law. They need to issue notice and if you do not repay, then need to initiate a legal proceeding before the Registrar of Co-operative Societies and after regular hearing, evidence, arguments etc., an award (decree) need to be obtained before proceeding against the properties of the borrower.
However, there is a limitation of time for the society to recover the amount. Last transaction of loan or acknowledgement of debt from you should not be more than three years of time. If it crosses three years, the limitation period bars the society from proceeding against the borrower for recovery of loan amount.
Querist :
Anonymous
(Querist) 06 August 2010
Dear Sir,
Thanks a Lot for your reply. I was really surprised to get the early reply from your end.
Will surely let you know the results of further matter as soon as I get the response.
This site is really doing wonderful Job helping the public..
Once again thanks a lot for your co-operation.
God Bless You..
J. P. Shah
(Expert) 06 August 2010
Please inform the bank in writing that you want to settle the loan as per directives of RBI. RBI has issued directives for one-time settlement of small loans. Mostly every year such directives are issued by RBI. You may visit www.rbi.org.in and search for one time settlement.
Mukul Aggarwal
(Expert) 06 August 2010
Sorry, I am not agree with Mr. J.P. Shah. as it will give a new cause of action to the bank. Period of Limitation has already expired and it will be very difficult to get the decree by the bank. so you should not worry. call the police if they come again and create nuisance.
Mukul Aggarwal
(Expert) 06 August 2010
further consult a good lawyer with all the relevant papers..
Querist :
Anonymous
(Querist) 06 August 2010
Dear Mr. Mukul & Shah, we will surely consult a lawyer & get the issue resolved..
Thanks a Tonne for the reply..
