Legal Question in Credit and Debt Law in India

My dad signed as surety for a friend in taking a loan. My dad passed away in 1995, almost 20 yrs back. After 20 yrs I heard someone approached our old home address with those surety papers. As my father been a surety, will the responsibility transfers to me to repay the balance credit? What are the proceedings I can held responsible towards my father surety. Please help me with your suggestion. Thanks in advance.


Asked on 1/23/16, 12:32 pm

1 Answer from Attorneys
Fca Prashant Chavan Expert Edge LLP

24.01.2016

Dear Sir / Madam,

Firstly, you can check with the original borrower(s) and with the concerned Bank whether the loan is still outstanding and if yes, ascertain the reason(s) why the loan is still not repaid and settled by the borrower(s). The original borrowers are primarily responsible to pay off and settle the loan, the guarantor or surety's liability is secondary. After ascertaining the facts, you should write a letter to the Bank accordingly.

Regards,

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Answered on 1/23/16, 6:30 pm


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