Home loan.
Madhur Singh
(Querist) 18 January 2012
This query is : Resolved
Respected Sir, I am a Guarantor in a Home Loan of my friend in a Bank. Now He is not depositing his loan installment and his loan account is N.P.A. My saving account is also in the same Bank. Under what conditions, the Bank can recover that loan amount from my saving account?
Devajyoti Barman
(Expert) 18 January 2012
You being the guarantor is now liable for repayment of the loan.
Your account or property now may be attached.
Raj Kumar Makkad
(Expert) 18 January 2012
No specific section is required to be told to you as this stage when bank is going to attach your bank account as well as other property under mortgage.
This question was relevant prior to your deciding to become a guarantor for the loanee. You have already signed various papers with the banker authorising them to do so.
Shonee Kapoor
(Expert) 18 January 2012
Agreed with Ld. experts.
Regards,
Shonee Kapoor
harassed.by.498a@gmail.com
Deepak Nair
(Expert) 18 January 2012
being a guarantor, you are equally liable as the principal debtor. If he fails to pay, the bank i =s etitled to recover the amount from you for that the bank can attach your SB Account
H.M.Patnaik
(Expert) 19 January 2012
While signing the Gurantee documents in respect of the said home loan, you have undertaken the duty to ensure repayment of the loan dues as per schedule by the borrower and in the event of his failure to do so, you are squarely responsible to settle the dues. In such a situation, the bank is free and within its rights to attach your deposits lying with them, as the same is the easiest option. However,the bank will serve a notice on you before taking any such measure.
R.Ramachandran
(Expert) 19 January 2012
Dear Madhur Singh,
In the given situation, you can take the following steps to minimise the impact on you, at least for some time:
(i)Minimise the deposit of any further sum into your SB Account.
(ii) If your salary is getting credited to the said account, better open another SB account with some other bank for getting the salary credited.
(iii) Request the Bank to proceed against the original borrower by giving him notice, taking action under SARFAESI Act etc. The borrower will come to terms. By doing this, you are not doing any disservice to your friend. In fact, it was he who turned trecherous towards you. Therefore approach the bank, talk to them, explain the position and ask them to take whatever action including action under SARFAESI Act to get the property in question auctioned.
malipeddi jaggarao
(Expert) 19 January 2012
Bank can exercise its right of lien and set-off and recover the overdue amount from your saving bank account as you are the guarantor in the account. This is the instant benefit of recovery for the bank as the deposit is in their hands. If you do not wish to facilitate the bank with its instant benefit, you have to withdraw the amount from the SB account and deposit in some other Bank. This will give you temporary relief. But you are also equally liable for repayment and Bank has its right to choose the course of action. However, since it is Home Loan, Bank will not proceed against you isolated, it will proceed against the borrower and you jointly by serving notices under SARFAESI Act. The best way out is to have a discussion with the borrower, take him to the Bank and see that he makes the repayment if he is capable. If is not capable due to temporary difficulties, you both can discuss with the Bank and ask for some time.
Madhur Singh
(Querist) 20 January 2012
Sir,Thanks for ALL your advises.
