how much is interest amount demanded by builder
2)if it is not substantial amount pay the said amount under protest
3) even if you take legal proceedings you have to spend money on legal fees which would be substantial amount
Interest for delayed payment demanded for delay caused by Builder
I got letter of possession on 18th Jan'19. Builder had given 30 days to make payment. I went to Bank to apply for loan enhancement for which they demanded 'statement of account/ledger' for processing my application. I informed builder for that same and asked them to provide the document demanded by bank. Despite several calls & follow-up on email they didn't provide me the required document till 15th Mar'19. On 15th Mar'19, they provided me a modified LOP for bank purpose that I took to bank for processing. Bank agreed to process loan enhancement only after seeking clarification on call from Builder's Customer care. Between 18th Jan'19 to 15th Mar'19, I kept asking for extension of payment due date and told them that eventually they will seek penalty for delay caused by themselves only. Bank took 3 weeks time process my loan enhancement after which I contacted Builder informing the same and seeking clarification regarding charges in LOP and agreed to clear payment afterwards. Builder didn't provide any clarification and after few days i got a mail telling me to make payment as well as pay the interest for delayed payment. Instead of compensating me for loss of time between 18th Jan'19 to 15 Mar'19 by providing me extension on payment due date, they charged interest for delays caused by them. When I asked the reason for delay between 18th Jan'19 to 15 Mar'19, executive responded by saying that she doesn't know why back-office didn't provide me the required document for processing on time. This delay appears to be completely intentional so that they can charge me interest on delayed payment and compensate for the payment they have to make for delay in project delivery. Please suggest how should I proceed. I have made the all the payment as per LOP except the interest for delay payment and want to go to Rera for resolution.
Asked 6 years ago in Property Law
Religion: Hindu
7 Answers
Better approach RERA . Even after making payment you can get refund through RERA and compensation through consumer court for unfair trade practice.
The builder cannot charge interest for the delay in payment as he had only failed to provide the documents for the processing of the loan.
You should serve legal notice to the builder asking him to waive off the said amount and send the amended receipt within 15 days of the receipt of the legal notice, if else to do so you can file a complaint against him in RERA or consumer court.
Agitate your grievance against this builder, in a legal notice which you must send to them.
Seek waiver of interest component for delay, illegally imposed by the builder and as a counter measure, seek interest from the builder in the delay occasioned in handing over physical possession of your flat. If the legal notice fails to be of any help, approach RERA at Gr. Noida.
You can refuse to pay the said interest and file complaint in consumer forum for deficient of service.
In my opinion, to be very frank, you may not be able to get any relief either from RERA or from the consumer forum.
The enhancement of loan is your problem for which the builder is not responsible.
The problem is that you have not communicated to the builder about this in writing, whereas you had sent emails and kept quite when you did not receive any response, so there is a lapse on your side because the builder is not obliged to furnish any such information, however he had given the information at a later date, whereas that cannot be claimed as an excuse for not paying the interest on delayed payment.
The above are written that how the builder will try to protect his interests in this cae in case you are approaching any legal forum seeking relief or remedy through legal sources.
However you may discuss with an advocate about this at length and decide what can be done on this in furtherance.
Dear client
You can approach Regulatory Authority of RERA for the dispute resolution.
A complaint can be filed under Section 31 of RERA either with the Real Estate Regulatory Authority or the adjudicating officer. Thiscomplaint can be filed against promoters, allottees and/or real estate agents.
