Legal Question in Credit and Debt Law in India

We are into money lending business for many years.....there is this acute problems for all the moneylenders.....

borrower after taking loans from many money lenders and is unable to repay them....intentionally....lodges a police complaint of harrasment and torture against the money lenders ....with a view not to repay the loan taken...as the money lenders would not want to enter into legal disputes.....

is there a solution to the above problem.....or is there a proper documentation at the stage of advancing the loan which would help in such a situation..

also there have been cases in which borrower commits suicide unable to pay the loans with a suicide letter against the money lenders....money lenders here again are put into trouble..

please give a solution to the above problem ...!!


Asked on 4/30/16, 11:02 pm

1 Answer from Attorneys

Take sufficient collateral security and two guarantors as banks do.

Read more
Answered on 5/04/16, 2:01 am


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in India