Legal Question in Banking Law in India

i got a two wheeler loan and my e.m.i was Rs.1350. i had paid all my e.m.i amount now but out of 36 moths i had paid 12 e.m.i same month after the due date . now my loan is closed and i havnt paid last four months e.m.i. now i am ready to pay the amount and close the loan a/c but now . the bank is asking 12,700 approx as final settlement to release my n.o.c. i have to pay penalty charges Rs.7374/- and my pending e.m.i Rs.5400/- total Rs.12,774/- . how can i reduce the penalty charges, the bank employees is treating me like a thief and threatening me that the will cease the vehicle and make me pay another Rs.5000/- as ceasing charges .. some one please help me what should i do .


Asked on 8/27/10, 3:47 am

2 Answers from Attorneys
RAJIV GUPTA (Cell: +91 9811284735) [email protected]

so much penalty may not be there for foreclosure. according to me its just 2% of the total pending loan. you may send a legal notice to the bank or go for consumer complaint.

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Answered on 8/27/10, 4:05 am
Vishwa Arya Arya & Co.

or make a representation to the ombudsman of the bank

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Answered on 8/29/10, 2:37 am


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