The stamp duty differs from state to state.
if you disclose the place of registration then stamp duty can be quoted.
Stamp duty on individual property for equitable mortgage
For a term loan & cc limit sanction of a pvt ltd company we want to do Mortgage which involves 1) Equitable mortgage 2) Hypothecation 3) Guarantor In the case of Equitable mortgage we have in total 6 property:- 2 in the name of company, 2 in the name of directors & 2 in the name of shareholders of company. What should be the stamp duty for equitable mortgage, hypothecation & gurantor ?
Asked 7 years ago in Property Law
Religion: Hindu
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3 Answers
Deposit of Title Deed Secured up to amount of Rs. 5/- Lakhs 0.1% but minimum Rs. 100/-
1.2 Deposit of Title Deed Secured for amount Rs. 5/- Lakhs and above 0.2% with the maximum of Rs. 10/- Lakhs
2.1 Pawn, Pledge or Hypothecation of Movable Property – for secured amount up to Rs. 5 Lakhs 0.1% but minimum Rs. 100/-
2.2 Pawn, Pledge or Hypothecation of Movable Property – for secured amount of more than Rs. 5 Lakhs 0.2% with the maximum of Rs. 10/- Lakhs
In an equitable mortgage, the owner has to transfer his title deed to the lender, thereby creating a charge on the property. The owner also orally confirms the intent of creating a charge on the property. Stamp duty and charges are comparatively low, relative to a registered mortgage.
An equitable mortgage is also known as an implied or constructive mortgage. No legal procedure is involved in an equitable mortgage, but it is considered mortgage in the interest of justice (under equity).
In many states, stamp duty and registration charges in equitable mortgages are as low as 0.1 per cent of the loan amount.
The same thing applies for hypothecation too.
