Legal Question in Banking Law in India

Re: Guantor's Liability

You should pay and recover the money from the other guarantors.

Re: Guantor's Liability

The lender is entitled to recover from all or any of the borrowers/guarantors.

If you are made to pay, you may recover the same from the borrower.

However, you may not be able to avoid the liability nor you may insist upon proportionate payment.

Re: Guantor's Liability

Everything depends upon lender but if you pay total amt you can recover the same from borrower and other gurantors.

Re: Guantor's Liability

The chit company can recover the whole amount from you alone. The best thing for you is to pay the dues and you get subrogated to the rights of the chit company and can sue the main borrower and other guarantors for the amount you paid. No question of apportioning the amount among the guarantors. Each is liable for the whole amount. If they are not traceable, you lose, that is all. If you have their last known address, after satisfying the chit company, receive from them all the documents and file a suit against the main borrower and other guarantors.

Re: Guantor's Liability

all you guarantors are jointlyy and severally liable to pay the amount