Legal Question in Banking Law in India

equitable mortgage comes into existence when the borrower deposits his title deeds witth his creditor with intent thereby to create a mortgage on the property covered by the title deeds. The memorandum accompanying or recording such creation of equitable mortgage, though liable to be stamped in some States is not compulsorily registrable. In the case of registered mortgage, it is created by written document duly stamped and registered as such. There is also no need to deposit the title deeds for creating a registered mortgage, though any prudent creditor would require the deposit of the same along with the registered deed, so that the borrower does not cheat him by creating a bogus ante dated equitable mortgage to some body else.