1) they cnanot take away your belongings
2) at most they can sue you to recover the dues with interest
3) if your wife is being threatened file police complaint of criminal intimidation under section 506 of IPC
Credit card default
Hi, My friend has credit card default of amount Rs, 2,58,000/- as due to his financial unsuitability he was unable to make payment since 7 months and fearing this he didn't contacted bank. Later bank people reach-out to him and threaten, shouted and forcefully asked him to settle it at Rs. 200000/- and pressurized him to right a letter of acknowledgement. Also they try to threaten his wife. He tried and paid Rs. 30000/- same day. but they keep on messaging him for payment and send voice notes. He told them that he can't make Rs. 200000/- which they ask him to pay in 15 days. He called them again but they keep on saying we will come with police and take all your belongs i.e. TV, Fridge etcs with them. Please advise.. he is ready for settlement but can't pay Rs. 200000/-. He only earns Rs. 50000/- monthly and had to pay rent and at home morethan half of salary to his parents.
Asked 5 years ago in Civil Law
20 Answers
Hello,
they can not adopt illegal means for the purpose of recovery. Your friend can ask them for restructuring the loan.
If they harass him and his wife also then he may go ahead and file complaint.
Regards
1. Let your friend lodge a Police Complaint if there was any harassment done by Bank people.
2. Ask your friend to meet the Bank's head and request for converting the outstanding amount to EMI.
No problem.
It is regular nuisance of agencies appointed by credit card companies.
No Police officers are authorized to take fridge, TV and household equipment untill Court has passed the order.
You may ask them to show order of Court or competent authorities under the law for compliance.
In meantime approach The Bank for settlement process in writing or you may send legal notice through lawyer for the settlement of your account. Please keep everything in writing for smooth disposals of your credit cards due for your future safety.
You need not worry. They cannot act accordingly without a court order / direction.
Meanwhile pay the said amount of 30k online, and have record of the same.
Police will not involve / interfere in civil / money recovery cases without direction of court.
If any illegal /unauthorized activity takes place, record the same and lodge police complaint against all concerned.
Once you pay 30k you will get some time based on which, you go for OTS.
Recovery of money is a civil dispute. In case they have to take any money, they can recover it through proper course of law. The RBI has already extended meratorium period upto 31.08.2020. lodge a complaint in the police and also file a suit for permanent and mandatory injunction with the help of local lawyer and obtain stay.
Hello,
- He must file a complaint with the police against the persons that are threatening and harassing him and his wife. They have no right to come with police and take away his belongings forcefully to recover the debt.
- The fact is that he has to repay what he has spent on the credit card with interest. However , it is an unsecured loan and the bank has too follow procedures legally. Your friend can contact the bank's customer service or make a visit to the bank and seek a settlement and time to repay in installments over a period of time.
Dear sir,
The recovery agents of bank cannot forcefully take the household items. That can be done only if the court orders.
You can get issued a legal notice to the bank calling for an amicable settlement and stop using these tactics.
You can meet the head of the concerned bank and offer them to pay in installments.
If they continue to threaten you can also file a complaint before a magistrate. However, try to settle the dispute outside court.
Best wishes.
Ask him to file a police complaint against those persons for threatening him and his wife.
Bills have to be paid but this is not a correct way to recover money.
With the government extending the nationwide lockdown up to May 31, the Reserve Bank of India (RBI) is likely to extend the moratorium on repayment of loans for three more months, according to an SBI research report.
On Sunday, the National Disaster Management Authority (NDMA), the nodal department, announced lockdown 4.0 till May 31 to check the spread of the novel coronavirus.
On Sunday, the National Disaster Management Authority (NDMA), the nodal department, announced lockdown 4.0 till May 31 to check the spread of the novel coronavirus.
The lockdown was first announced by Prime Minister Narendra Modi on March 24 for 21 days in a bid to combat the COVID-19 pandemic. It was first extended till May 3 and again till May 17.
In March, RBI had allowed a three-month moratorium on payment of all term loans due between March 1, 2020 and May 31, 2020.
In March, RBI had allowed a three-month moratorium on payment of all term loans due between March 1, 2020 and May 31, 2020.
"With the lockdown now extended up to May 31, we expect RBI to extend the moratorium by three months more," SBI's research report- Ecowrap said.
The report said the moratorium for three more months will imply that companies need not pay till August 31, 2020, and this means that there is almost minimal possibility of companies being able to service their interest liabilities then in September.
The report said the moratorium for three more months will imply that companies need not pay till August 31, 2020, and this means that there is almost minimal possibility of companies being able to service their interest liabilities then in September.
Failing to repay the interest liabilities will mean the account might be classified as non-performing loans as per the RBI norms.
"Thus, the RBI needs to give operational flexibility to banks for a comprehensive restructuring of the existing loans and also a reclassification of 90 day norm," the report said.
"Thus, the RBI needs to give operational flexibility to banks for a comprehensive restructuring of the existing loans and also a reclassification of 90 day norm," the report said.
The RBI's June 7 circular is stringent and gives little flexibility to banks.
"The revised restructuring norms should give banks to restructure like say converting interest liabilities up to March 2021 into term loans, repayable in 3-5 years for working capital and at the end of the tenor in case of term loans,” the report said.
RBI also needs to also clarify whether working capital expansions classify as COVID-19 debt, it said.
"The revised restructuring norms should give banks to restructure like say converting interest liabilities up to March 2021 into term loans, repayable in 3-5 years for working capital and at the end of the tenor in case of term loans,” the report said.
RBI also needs to also clarify whether working capital expansions classify as COVID-19 debt, it said.
Also write to Banking Ombudsman with all proof you have against bank
If at all they threaten again or visit your home and indulge in any illegal activities, you may give a complaint with the police about such illegal activities.
They are required to follow the procedures of law and cannot indulge in such illegal acts.
Consult a lawyer and issue a legal notice.
First of all approach the bank manager and tell him your present condition and amicable settle the matter.
Regards
- As per the RBI, the bank should give proper time and offers for the settlement of loan amount., on the ground of health and sudden loss
- If , the bank is not agree to give time, then don’t worry and let them to start legal action against your friend.
- Firstly, the bank will issue demand notice prior to take legal action from the court. He should reply the same after narrating the whole story of business failure.
- Even, if the bank filed a case before the Court, then he will have much time to repay the said loan amount and to settle the matter according his present situation.
- If bank official/people are harassing, then he should do the following for his safeguard.
- He should lodged his complaint at the police station for harassing & threatening , as law not permits anybody to take the law in his hand. If police refuse, then he can approach the magistrate for the same.
- He can file an injunction case against the bank and its recovery agents for the direction of not visiting the house or office for the recovery of dues amount of loan.
- He can file a complaint with the RBI .
Don’t worry, In this way , the bank will itself try to settle the dispute with your friend.
- Actually the person who are visiting him after not from the bank , and they are indeed an agent for recovery.
- Hence tell him not to pay any amount to them .
You can call me via kaanoon.com , if needed further advise to same him from this trouble.
Forced recovery is prohibited by court. On the contrary you and your wife can file police complaint of criminal intimidation.
They cannot enter in your house or create havoc outside your house. Dont agree for any settlement and tell them to go court.
And tell them straight to settle it on OTS. Offer 1 lacs or few more and tell them to bring OTS letter from bank only.
You don't have to worry they can't include goons and police in credit card matter. You can complain to police for the same. They need to file a civil recovery case for the same
It is really a sad incidence. These kind of instances are rising in few jurisdiction.
For now your friend can file a complaint with the bank about the fact that were harassed by the recovery agents of the bank in illegal manner and also simultaneously approach the bank for restructuring loan/remaining dues.
Regarding the complaint if bank does not take any action he can approach the Banking ombudsman.
You may inform us of your action and we can suggest further recourse if you the above remedies do not work for you.
1. These are hollow threats given by bank.
2. Police has no role to play in this unless there is a decree passed by court.
3. Bank has to file a suit for recovery of money in the civil court.
4. Your friend can file a complaint and get the FIR lodged against branch manager and others in bank for criminal intimidation under Section 506 IPC.
1. Your friend should lodge FIR against recovery agents for harassment and threatening to take stuffs from home.
2. Once the complaint is lodged they themself come for settlement.
3. If police refuse to lodge FIR then meet SP of Bangalore with your written complaint.
Dear Sir,
You are suggested to write to bank for giving time and with assurance that the money will be returned. Also for not sending the goons in form of collection agents. Further don't hesitate to file police complaint or call at 100 number if collection agents are harassing further.
They cannot forcibly take away the money. They gmhave to file a case. Tell your friend not to acknowledge the loan. But as he has paid he has acknowledged indirectly. But still don't give anything in writing. Lodge an fir if they harass you.
