unnikrishnan (branch manager) 11 August 2016

Limitation act

Sir, Kindly anyone tell if loan renewal application bydebtor for a demand promissory loan extends the limitation period of three years from the date of such renewal application

thanks

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4 Replies

G.L.N. Prasad (Retired employee.) 12 August 2016

Any debt can enjoy fresh limitatition period from the date it was acknowledged in writing or from the date of last payment made against such promissory note. (This acknowledgment of debt is most vital for extending limitation period)

Kishor Mehta (CEO) 12 August 2016

Sir, Consent of the creditor is necessary for extension of the loan period, debtor can not extend the loan period unilaterally. Good luck, Kishor Mehta

Kumar Doab (FIN) 12 August 2016

Consent of the creditor is necessary.

unnikrishnan (branch manager) 13 August 2016

Sir,

in the limitation act 1963 it is told that the limitation period for DPN Loan is from the date of DPN .What i am asking is if the debtor gives an application that the credit limit to be renewed .is it comes under the section 18 of the limitation act as acknlwledgement of debt and the creditor sanctions the renewal with the same terms and conditions

thank you,

I do have a practical problem in it thats why i am asking about it

thanking you,