Hello,

You proceed and send them a notice request letter for the same. Being in this profession for this long I can assure you one thing that all these are pressure tactics, neither will you be arrested nor will your property be attached without following due procedure of law. So if you will have a written communication beforehand, the same ill help you if magma people go ahead to file a case.

Regards

1)for personal loan there is no collateral security offered

2) in the event you fail to repay the loan bank will take recovery proceedings against you and your husband

3) your husband can sell the property standing in his name

4)if borrowers dont have property in your name MAGMA would not be able to attach your property

5) in case MAGMA takes legal proceedings contest the suit proceedings . seek time to repay the loan

1) disposal of suit would take years

2) however interim orders of attachment can be passed within 3 months or so

3) make an offer for OTS . Request to increase the tenure of loan and reduce the instalment payable

Mam, they are just scaring and threatning you .. They cannot forcefully extract the money neither they have the power to attach the property .. If the property is attached with loan , then they can auction it under SARFESI act , with a prior notice .. Of the property is not attached , they have to file a recovery suit in court for Thier money ,, recovery suit may take 4 years to get decided and attachment of property

Hi,

They can take attachment of your property legally. But, whatever the charges they incur to get attachment you may need to pay along with loan outstanding. I suggest you to issue legal notice to them explaining all your issues and you need more time to repay the loan.

Thanks,

Adv.Niranjan,

Mobile - .

Hello,

No it does not, they will have to comply with all the procedures as prescribed under CPC, which takes a long time. moreover, if they start some proceeding against you, you will receive a notice and then you can contest the case in the court itself.

Regards

1. Have you or your husband mortgaged any property in favour of Magma creating security interest thereupon?

2. If yes, then Magma can file a suit praying for an order for attaching the mortgaged properties.

3. If there is no mortgaged property, then they can collect list of your or your husband's properties and seek their attachments.

4. However, for getting the properties attached, Magma shall have to file a suit against you claiming payment of the outstanding amount which can be contested by you on various grounds and such cases ordinarily take 2 to 4 years to be disposed of and in the meantime you can propose one time settlement of the loan.

5. No arrest can be made for being defaulting borrower.

1. Since your father in law is holding the documents of the property of your husband, it is clear that there is no equitable mortgage created with Magma by depositing original title deed.

2. In that case, you and your husband can transfer the title of the properties standing in your names in favour of any other person of your family to ensure that you and your husband do not hold any property to be attached by Magma with Court order.

3. Suit for attachment of properties will take around 2 to 4 years to be disposed of, if hard contested.

1. An arrest warrant cannot be issued at the drop of a hat.

2. The maximum they may do is to file a civil suit for recovery of money, which you can contest with all your might. Only after the decree is passed, and execution proceedings undertaken, the attachment can take place.

3. If, however, a property has been mortgaged then it can be attached and sold to recover the loan.

A prosecution for cheque bounce under section 138 of NI Act can surely be launched if the cheque has been presented and dishonoured. It carries an imprisonment of up to 2 years on conviction.

For default in loan repayment they cannot make an arrest neither the police will involve legally into this because it is a civil matter.

They have to approach court for recovery by due process of law only and cannot take law into their hands.

In the recovery action they can attach the properties of the co-applicant or the guarantor if there is no co-applicant.

However all these process may take time if they approach court, it may take at least two years for the recovery action to begin

How much time does this whole process take ? My husband has properties in his name but his father holds all the documents . He wont allow us to sell the properties, instead rebuke us. We dont want him to know. If we get sufficient time , we may be able to repay and get out of it. Can chit fund companies also get property attachment or book a cheque bounce case against us ? We have a registered chit in my husbands name. That company people also say the same thing. Plz let me know the approximate time it takes for all this process. These people say it happens within 2-3 months

Loan availed has to be repaid.

The chit amount availed in the auction bid has to be paid periodically till the chit scheme comes to an end.

The recovery action will be taken by the financier if there is a default in repayment

Though it may take time if they approach court, you can still negotiate with the financier accordingly or else you can leave it to them to approach court where you can drag it on to some extent by which you can arrange the money for repayment.