• Personal loan default

I had taken a personal loan from icici in 2014 worth 2.3 lacs and paid the emi fro 14 months. However, due to family issues, I had to stop payment and the bank people had also deducted my salary for a month. Now, my total due amount including cheque bounce charge is 2.11 lacs. Two days back, three officials came from ICICI bank and started shouting at me and my wife. They made me write in a blank paper that I have to pay 1.7 lacs within next month and made me sign my name as well. I could not record the persons but I took their business cards so I have their details. Now, i am thinking of shift my place due to the harassment caused, please advise. As of now, I will not be able to pay any amount till some 6-7 months, what is the best recourse ??
Asked 4 years ago in Civil Law

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21 Answers

1.Well, since you are indebted to the Bank you will have to make the payment and there is no second opinion on it.

2.Howeevr that does not mean that the bank can indulge in extra judicial measures as mentioned by you for which you can lodge complaint with police u/s506,509 or even 384 crpc as they forcefully got a written acknowledgment from you.

3.DO note that shifting your residence will not absolve you from your legal obligations to repay the debt.

4. So talk to them and settle with them on a mutually agreeable amount with repayment options on instalments.

Devajyoti Barman
Advocate, Kolkata
22515 Answers
402 Consultations

5.0 on 5.0

File a criminal case against those officials. They can not force u or harass u to recover loan. That white paper will have no legal value. Go to concern ps and complain about the incident and lodge a fir

Subhendu Ghosh
Advocate, Barrackpore
234 Answers

4.0 on 5.0

1. As per supreme court order, no Bank can harass the defaulter and recover loan amount withoutb thye due process of law.

2. they made you writing something against your wish will not be acceptable by the court unless there is a policxe complaint to that effect lodged by you.

3. So, lodge a police complaint against those people whose cards you are holding alleging that they had physically forced you to write some thing and sign on the paper against your wish and also that they had harassed you and your wife by coming to your house.

4. There is no reason for your shifting the residence since they will find out your new address and go there also unless they find that you are legally equipped to fight their illegal,pressure.

5. Since there is no mortgage of any of your properties, you should not worry much and inform the Bank straight way that you shall not be able to pay the full amount and ask them to sanction a settled amount much less than the dues which you shall start paying after 6/7 months.

Krishna Kishore Ganguly
Advocate, Kolkata
26603 Answers
726 Consultations

5.0 on 5.0

1) Visit bank again try to fix lower EMI price and take long tenure.

2) Running from one place to another will not solve your problem, but it will create more hectic life.

3) your CIBIL records will spoil, as of now it has been spoiled due to unpaying EMI's. And you will not get any loans from any bank, henceforth.

Ganesh Kadam
Advocate, Pune
12338 Answers
191 Consultations

4.9 on 5.0

This was not good. Please file a FIR immediately with your police station against those persons stating that they have forcefully taken your signature on the blank papers which can be used against you. loan default due to any reason can be settled with the bank officials authorised to negotiate the final settlement amount I cannot force you to pay any amount on a given date of their choice normally the amount considered for settlement is below the actual due amount

Vimlesh Prasad Mishra
Advocate, Lucknow
6848 Answers
23 Consultations

4.9 on 5.0

1) once you have acknowledged your liability to pay Rs 1.70 lakhs it is binding by upon you

2) make an offer to Bank for OTS

2) offerbyo psy amount in equated monthly instalments within 2 years or so

Ajay Sethi
Advocate, Mumbai
87947 Answers
6207 Consultations

5.0 on 5.0

Hello sir, the bank officials cannot use means of threat and violence in recovery of loan amount .. They can approach legally by filing of civil recovery suit .. You can make a police complaint for the threatning and being abusive to you and your wife

Hemant Chaudhary
Advocate, Gurgaon
4619 Answers
67 Consultations

4.9 on 5.0

Lodge complain asap

Subhendu Ghosh
Advocate, Barrackpore
234 Answers

4.0 on 5.0

You can lodge a complaint against the officials who visited your house and shouted on you for repayment.

They have no rights to indulge in such an illegal act or violence.

There are provisions and procedures to be followed for recovery of loan amount.

You immediately issue a legal notice to those people visited your house and also against the bank for the illegal acts of their staff which spoiled your reputation and defamed your name in the society.

You can demand compensation also against the bank for defaming you.

The procedure to recover loan is either by sending a legal notice or approaching the civil court for recovery by due process of law.

They cannot take law into their hands.

When you send a legal notice demanding compensation for the defamatory acts of the staff of the bank, the bank will resort to legal action to recover loan by due process of law.

Then you will get sufficient time to settle the loan during the course of litigation or trial proceedings.

T Kalaiselvan
Advocate, Vellore
78106 Answers
1543 Consultations

5.0 on 5.0

My concern is that can the bank officials use that signed paper to force to pay the 1.7 lacs by next month as I am certainly not in a situation to pay that amount.

They cannot enforce the same in court of law since it is not admissible as evidence

Also, they also told me that a suit had already been filed by the bank but I did not get any legal notice regarding the same. So, the paper I signed stating that I will pay 1.7 lacs by next month, can it be enforced by court or police officials.

If they have filed any suit, you will get the summons, so wait for the summons till then,

They cannot aproach police with the assurance given ion a plain paper.

Police has nothing to do with this since this is a civil matter.

T Kalaiselvan
Advocate, Vellore
78106 Answers
1543 Consultations

5.0 on 5.0

1) you cnnaot be forced to pay Rs 1.70 lakhs next month

2)if suit has been filed acknowledgment of liability can be used by bank in court case

Ajay Sethi
Advocate, Mumbai
87947 Answers
6207 Consultations

5.0 on 5.0

1. The signed paper can of course be used and misused by the bank. To be on a safer side go to the nearest police station to give a complaint that the bank officials made you sign the paper under coercion.

2. If bank officials harass you again then file a complaint for criminal intimidation under section 506 IPC.

3. The maximum which the bank can do is file a civil suit for recovery of money in the civil court which you can contest.

Ashish Davessar
Advocate, Jaipur
30761 Answers
971 Consultations

5.0 on 5.0

1) yesterday your will was to pay 1.7 lacs and today its 1000 to 3000 pay monthly EMI installment, try convince them you have to give assurances from your side.

2) Nothing is impossible in this world, just you have to stick with your point that your not going to become defaulter of the bank and you want to pay all money of bank. Explain them all your situation, as they had visited you home then they must have seen your financial and home conditions.

3) If they have served summons on you and you have not received that may be in transit or it may have gone to your Bangalore house where you was not presented or house may be lock. See it has stick on your house door, as you are sitting in your native place. If it may happen that you will require to visit in court, still try to explain what I have told in point number 1 in the court.

Ganesh Kadam
Advocate, Pune
12338 Answers
191 Consultations

4.9 on 5.0

Just file the complainant and negotiate for the settlement as per your convenience to pay. This is a possibility.

Vimlesh Prasad Mishra
Advocate, Lucknow
6848 Answers
23 Consultations

4.9 on 5.0

The only recourse for the bank is to file a recovery suit and not to harass by engaging goondas. In such a event, you can lodge a complaint with the local police stating criminal intimidation and attempt to commit offence. Once the bank file a suit and send a notice, approach the legal aid and opt. for lok adalat wherein you can negotiate and pay the outstanding dues.

Rajaganapathy Ganesan
Advocate, Chennai
2085 Answers
8 Consultations

4.9 on 5.0

1. No body can get the money from you by force if you do not have it.

2. The Bank can claim before the Court that you yourself have committed to make the said payment with in s specified time unless you lodge a police complaint alleging that they had physically forced you to write on the paper as per the dictation of them and put your signature thereupon. .

3.If the Bank has filed any suit, you shall get the notice from the Court requiring you to appear before the Court and such cases will run for years for which the Bank may not be willing to spend substantial amount towards legal expenses for recovery of just Rs.1.7 lakhs and may accept the settlement proposal of payment a much less amount, if filed by you.

4. However, you can lodge the police complaint by sending the complaint letter by speed post from your native place and collect the track record after 4 days from the internet as the proof of delivery.

Krishna Kishore Ganguly
Advocate, Kolkata
26603 Answers
726 Consultations

5.0 on 5.0

You should not have given any undertaking on a blank paper, first and foremost.

Any dues towards repayment of a debt can be recovered only by adopting practices which have protection and recognition under law; and not by criminally intimidating the debtor.

Lodge a FIR against the recovery agents who visited you.

Vibhanshu Srivastava
Advocate, New Delhi
9426 Answers
245 Consultations

5.0 on 5.0

You may resile from the undertaking given by you.

Tell them that you will act only once you receive something in black and white, either from the Court where they have filed the suit or from them.

Vibhanshu Srivastava
Advocate, New Delhi
9426 Answers
245 Consultations

5.0 on 5.0

bank officials can force you to pay since you have signed there. shifting places wont help since bank can involve police here. if they want to recover debt, they will file case in DRT. then you should ask for a stay order on the proceeding from high court showing your financial inability to pay.

it would be better if you gift all your property to some relative and declare yourself as insolvent. you can escape debt.

Arnab Kumar Banerjee
Advocate, Kolkata
112 Answers

4.0 on 5.0

It can not be enforced through police but can be enforced through court.

Do not worry until and unless you receive a summon from the Court.

Regards

Anilesh Tewari
Advocate, New Delhi
17940 Answers
377 Consultations

5.0 on 5.0

1. Just for this issue do not shift your address.

2. Hire a lawyer and make police complaint against the recovery agents immediately. You do not have to make personal visit to police station to make complaint on this.

3. Issue legal notice to them to ask more time to repay the debt.

Niranjan
Advocate, Bangalore
844 Answers
9 Consultations

4.9 on 5.0

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