Loan settlement
Keshav kamra
(Querist) 09 November 2016
This query is : Resolved
I bought a commercial no car on loan from mahindra and mahindra in 2015 for call centre purposes. Now the contract is broken and i have no other source of income. I want to settle that loan with the bank and also want the car to be taken by the bank for recovery of loan..kindly suggest procedure.
Kumar Doab
(Expert) 09 November 2016
Try to find buyer on your own at a good price.
Then take lender in confidence and sell with agreement of lender.
Pay balance if any from your own pocket.
Default shall spoil your own credit worthiness.
Rajendra K Goyal
(Expert) 09 November 2016
Bank would take the car on through away price and would deduct considerable expenses from the proceeds. It is doubtful, you would receive much relief in your loan outstanding.
Better search private purchaser, sell it and deposit in loan account.
Rajendra K Goyal
(Expert) 10 November 2016
If you are of the opinion that after taking of the vehicle by the Bank you would absolve of the liability, you are mistaken. Bank would claim balance through legal way or would assign debt to private recovery agent which would take every effort to recover the outstanding.
Kumar Doab
(Expert) 10 November 2016
You won't get NOC until full debt is paid.
Bank shall follow up till debt in full is paid.
Settlement is adverse entry.
Kumar Doab
(Expert) 11 November 2016
Thanks for agreeing Mr. Goyal.
