RBI asks banks, NBFCs to release original movable, unmovable property documents within 30 days of full repayment of loan
The Hindu
RBI issues directions to REs to release all property docs & remove charges after loan repayment. Borrowers can collect docs from banking outlet or other RE office. REs must have procedure for return of docs to legal heirs & must compensate borrowers for delay/damage. Directions applicable from Dec 1, 2023.
The Reserve Bank of India (RBI) has issued directions to Regulated Entities (REs) such as banks and non-banking finance companies (NBFCs) to release all the original movable / immovable property documents and remove charges registered with any registry within a period of 30 days after full repayment/ settlement of the loan account.
This instruction has come as per the guidelines on Fair Practices Code issued to various REs since 2003, who are required to release all movable / immovable property documents upon receiving full repayment and closure of loan account.
“However, it has been observed that the REs follow divergent practices in release of such movable / immovable property documents leading to customer grievances and disputes,” the RBI said in the circular issued on Wednesday.
To address the issues faced by the borrowers and towards promoting responsible lending conduct among the REs, the directions have been issued, the circular said.
As per the directive the borrower will be given the option of collecting the original movable / immovable property documents either from the banking outlet / branch where the loan account was serviced or any from other office of the RE where the documents are available, as per her / his preference.
“The timeline and place of return of original movable / immovable property documents will be mentioned in the loan sanction letters issued on or after the effective date,” the circular said.
To address the contingent event of demise of the sole borrower or joint borrowers, the REs must have a well laid out procedure for return of original movable / immovable property documents to the legal heirs.
When fed into Latin, pusilla comes out denoting “very small”. The Baillon’s crake can be missed in the field, when it is at a distance, as the magnification of the human eye is woefully short of what it takes to pick up this tiny creature. The other factor is the Baillon’s crake’s predisposition to present less of itself: it moves about furtively and slides into the reeds at the slightest suspicion of being noticed. But if you are keen on observing the Baillon’s crake or the ruddy breasted crake in the field, in Chennai, this would be the best time to put in efforts towards that end. These birds live amidst reeds, the bulrushes, which are likely to lose their density now as they would shrivel and go brown, leaving wide gaps, thereby reducing the cover for these tiddly birds to stay inscrutable.
ACB report reveals 173 Maharashtra officials not suspended despite corruption allegations since 2012.
The Kaveri 2.0 portal experienced performance issues in December 2024 and January 2025.
The duration of the work in Goshen library in Chintadripet is 12 months; three months have elapsed, and the work would reportedly be completed before the deadline.
Maharashtra minister Chandrashekhar Bawankule said on February 16, 2025, that separate provisions have been made for each welfare scheme and none has been affected by the flagship Mukhyamantri Majhi Ladki Bahin Yojana.
Perplexity AI has launched Deep Research, its AI research tool for free to compete with OpenAI and Google’s research tools.
West Bengal falls short in solar energy capacity, with only 5% of estimated potential installed, BJP criticises Mamata Banerjee.
Two more persons have been arrested and remanded in connection with the double murder case reported under Perambur police station limits in Mayiladuthurai district on February 14, 2025.
Union Minister Suresh Gopi warns officials against taking bribes, emphasizes importance of public service and growth of tourism sector.
Poongodi Mathiarasu, a puppetry enthusiast, aims to spread the art form's therapeutic benefits through workshops and performances.
Tribal healer in Odisha impresses Ayurvedic experts with traditional treatments for chronic diseases, sparking scientific curiosity and conservation efforts.
Understanding the impact of earthquake depth on damage and intensity of shaking in concise detail.
Minister Sekarbabu rededicates renovated tank at Raveeswarar temple in Vyasarpadi, with upcoming temple structure lift and kumbabhishekam.