• Recovery of personal loan

I have given a loan of Rs. 1.5 lacs to an individual through banking transaction. No specific loan documents were prepared at that time rather it was given based on mutual trust & relationship. 

Later, having had several unsuccessful communications the loanee has been served with a legal notice by my lawyer to repay the loan. The said person is refusing to repay by citing several other matters which has got no relevance with the loaner. 

Now the questions are :
1. What should be the appropriate legal recourse to recover the money?
2. Since no specific loan agreement was made at the time of giving the sum, can the loanee take a different stand that it was actually not a loan, it was for something else?
Asked 2 months ago in Civil Law from KOLKATA, West Bengal

A recovery suit must be filed in the civil court of the district where you reside. The court shall proceed accordingly.


Rahul Mishra
Advocate, Lucknow
3236 Answers
9 Consultations

5.0 on 5.0

1) file police complaint against the borrower for cheating , criminal breach of trust under action 406, 420 of IPC 


2) if you file summary suit it would be difficult to prove it was given as loan in absence of loan agreement 

Ajay Sethi
Advocate, Mumbai
61304 Answers
3720 Consultations

5.0 on 5.0

If you have his cheque you can bounce it and file Complaint under Negotiable instruments act. Or you can file a suit for recovery and examine witness. You can try to file cheating FIR in police station and cheating Complaint in Court

Prashant Nayak
Advocate, Mumbai
8291 Answers
11 Consultations

4.8 on 5.0

you can file a criminal complaint against him for the offence of cheating. if the police is not accepting the complaint, you can directly file a complaint in the criminal court of competent jurisdiction.

You can file a suit for recovery in the competent Civil Court. Pls. visit your local lawyer who, based on the documents availabale with you, can suggest you the best course of action.

Mohammed Mujeeb
Advocate, Hyderabad
7067 Answers
3 Consultations

4.5 on 5.0

Dear Client,

You can file a suit for recovery of the given loan. You may show your bank transfer transactions as proof. 

Jaswant Singh
Advocate, Gurugram
397 Answers
1 Consultation

4.8 on 5.0

Dear Sir,

All his defenses must be destructed during the course of cross examination.  Your bank documents clearly establishes that you have paid such amount.  He has to prove the repayment of the same by cogent evidence other wise the decree will be passed along with the interest, court fee paid and equivalent advocate fees.

Netravathi Kalaskar
Advocate, Bangalore
2447 Answers
6 Consultations

5.0 on 5.0

Dear client, 

File recovery suit and don't show it as loan on interest but borrowing out of trust. Lending shall be proved by online transaction and communications held between two.


Yogendra Singh Rajawat
Advocate, Jaipur
9799 Answers
8 Consultations

4.6 on 5.0

1. I am sure you have proof of giving him a loan like bank statements to show credit in his account. If that is so then you can file both civil and criminal case to recover your loan.

2. Let him  take a any stand. He is expected to defend the case in such manner. You file a civil suit for recovery of loan and alternatively a criminal case of cheating .

Once you surround him with cases you can reasonably expect him to settle the dispute amicably.

Devajyoti Barman
Advocate, Kolkata
16485 Answers
231 Consultations

5.0 on 5.0

you are advised to go for filing the suit for recovery, which is the best and ONLY option,


you also have another option of filing a police complaint but it depends, whether police register it or not and what averments were made by your lawyer in LEGAL NOTICE.


Suneel Moudgil
Advocate, Panipat
649 Answers
1 Consultation

4.3 on 5.0

You can file a suit for recovery of the loan mentioning all relevant payment details. Try to establish in court that the money paid was for no other consideration but for financial assistance as a loan on good faith and trust upon his verbal approach.


Kallol Majumdar
Advocate, Kolkata
247 Answers
1 Consultation

5.0 on 5.0

If the money has been paid in cash then no remedy because there are so many ways but so far I think you will not be able to do so, if the money has been paid by NEFT or RTGS then take the course of criminal law.

Koshal Kumar Vatsa
Advocate, Gurgaon
1331 Answers
1 Consultation

5.0 on 5.0

A summary suit for recovery of the amount needs to be filed before the civil court for the recovery of the amount. 

See loanee will definitely contest it but he has to give evidence to support his statement. 

Shubham Jhajharia
Advocate, Ahmedabad
15304 Answers
63 Consultations

5.0 on 5.0

1.  You can file a money recovery suit based on the bank transactions details and the statements and also the legal notice served on him.


2.  You dont bother about what stand he may take for your case, you better concentrate on your own concept of hand loan because you do not have any document to prove that this was a loan 

The bank transaction may come to your rescue which cannot be denied by him. 

T Kalaiselvan
Advocate, Vellore
51403 Answers
612 Consultations

5.0 on 5.0

  1. As per the information mentioned in the presnet query, makes it clear that you have already served him a notice for the repayment of be loan amount, but still he is not ready to return.
  2. As you have already served him a notice, I would advice you to file a suit for the recovery of money with interest from the date of instituting the suit till the final conclusion of the suit.
  3. This is the best way to get your money back and that is also with some interest.
  4. Otherwise, even if you would have had agrement in writing then also you can’t give loan to someone as this has been banned by law, only approved financial institutions, banks etc.
  5. So, now you should think about getting your money back with interest along with the bank statement showing transaction to his account.

Sanjay Baniwal
Advocate, South Delhi
3996 Answers
7 Consultations

5.0 on 5.0

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