• Releasing of original documents from bank - change of ownership

Dear Sir / Madam,
I and my elder brother who jointly owns a house had taken a  loan from a Bank for construction purpose ,the dues are paid and the loan stands closed now. Unfortunately my brother passed intestate 10 yrs ago and since then i have been paying the dues to the bank . My brother was the main borrower and i am the co-borrower. In order to get the original titles from the bank ,they have asked me to produce the death certificate, succession certificate and execute an indemnity bond from the surviving members to the bank. Both me and my parents also needs to be present at the time of collecting the original titles from the  bank officials. Understand that the bank will release NOC for loan closure in the name of the main applicant . Pls help to guide me what is the correct procedure as i believe the NOC should mention details about the death of my brother along with the dues being paid my me so that the records are clear. Also pls guide once i have the original titles how do i transfer the title to my name .
Asked 3 months ago in Property Law from Bangalore, Karnataka
Religion: Hindu
Since your brother's name was there as co applicant the Bank is right in asking for death certificate and succession certificate.
So produce the same and make your parents present while collection of documents.
This would cause no harm to you.
Devajyoti Barman
Advocate, Kolkata
5248 Answers
54 Consultations
4.9 on 5.0
1) bank will   not mention about dues paid by you . it would only record that loan has been repaid with interest 

2) on demise of brother his 50 per cent share would devolve on his legal heirs ie his wife and children 

3) if your brother was bachelor and you are his only surviving legal heir apply to society for transfer of brother 50 per cent share in your name . enclose succession certificate obtained from court 
Ajay Sethi
Advocate, Mumbai
23367 Answers
1224 Consultations
5.0 on 5.0
Hi 
1) Yours is a case of joint ownership where in the property has actually devolved on you on the day of demise of your brother.
2) Technically the bank should have amended their records so as to reflect that you are the main borrower. 
3) However it appears that this did not happen in your case. Legally and technically, you are the main borrower after the demise of your brother and the bank should have no objection to hand over the original documents to you. 
4) However in order to avoid any legal hassles in future, you should do the following:
a) Obtain a family member certificate from Mandal revenue office. A family member certificate should be in the name of  your deceased brother.
b) Obtain no objection from all of the members mentioned in family member certificate  for transfer of property to your name. 
c) A Family member certificate is sufficient enough for the bank to release the originals to joint owner. A succession certificate might take about 5/6 months where a family member certificate will take a maximum of 30 days only.  
d) Provide indemnity in the format prescribed by the bank. and collect the originals and also the No objection certificate from the bank. 
e) Your family members should also attend the registrar office and sign a relinquishment deed in your favour. 
f) Since you are already a joint owner, the stamp duty and registration charges will be very very minimal. 

No Worries. 
Rajgopalan Sripathi
Advocate, Hyderabad
873 Answers
43 Consultations
5.0 on 5.0
1.  The loan stands in the name of your deceased elder brother and also yourself,

2. The mortgaged property stands in the joint name of yourself and also your deceased brother,

3. The original deed of the mortgaged property shall have to be returned to the owners/mortgagors of the said property.

4.  The Bank is right in asking for the succession certificate and indemnity bond from the legal heirs of your deceased brother. In my view the Bank can also opt for legal heirs certificate for returning the deed of the property since succession certificate is required to establish inheritance of movable property whereas legal heir certificate is required in case of immovable properties which is much easier to get from the local Tehshilder/Municipality. Talk to the Bank requesting them to accept legal heir certificate in place of succession certificate which shall have to be availed from the Court taking much time and money (Rs.50 K maximum).

5. Once you submit the above documents asked by the Bank (only exception being replacing the succession certificate with legal heir certificate), you will get back the original title deed of your property you have deposited with the Bank while mortgaging the said property creating security interest on the loan availed by you and your deceased brother. 
Krishna Kishore Ganguly
Advocate, Kolkata
12143 Answers
233 Consultations
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1. If the bank has sought a succession certificate then to obtain it a petition has to be filed in the court of District Judge. The court will issue a general notice to invite objections to the petition, and if no objections are received then you can expect to get the succession certificate within 6-8 months. All the heirs of your brother should collectively file the petition. 

2. After you obtain succession certificate the title would pass absolutely to you only if the other heirs of your brother execute a relinquishment deed in your favour.
Ashish Davessar
Advocate, Jaipur
18183 Answers
449 Consultations
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The bank will give discharge certificate in the name of the primary borrower.  
It was your fault that you did not inform the bank at the time of his death about it and had asked for change of the name or transfer of loan account to your name. 
At this stage, you may have to follow the procedures what bank mandates.
T Kalaiselvan
Advocate, Vellore
14151 Answers
127 Consultations
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1) your father can  sign NOC only as g Raman ie his original name in records 

2) your father does not have any identity proof that he is known as Ramu . He can sign as Ramu if he so desires 

3) father can execute affidavit that g Raman and Ramu are one and same person 

4) affidavit should be on stamp paper and should be notarised
Ajay Sethi
Advocate, Mumbai
23367 Answers
1224 Consultations
5.0 on 5.0
1) your father can sign as ramu as he is known by both names 

2) apply for power connection in name as ramau 
Ajay Sethi
Advocate, Mumbai
23367 Answers
1224 Consultations
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The signature hardly matters.
He can sign in any manner.
His name should tally to that of the title documents, hence NOC may be executed in the name as is found in the title document. 
You cannot change the name in the title deed at your will.  
It will remain in the same name only.
But there is no problem in his signature.
T Kalaiselvan
Advocate, Vellore
14151 Answers
127 Consultations
5.0 on 5.0
1.  Let your father make an affidavit before the 1st class Judicial Magistrate affirming that he is known as both Ramu and G.Raman.

2. You need not change his name in the title deed.

3. Your father's above affidavit will entitle him to sign as Ramu as has been mentioned in the title deed.

4. After that he can sign the NOC as Ramu legally.
Krishna Kishore Ganguly
Advocate, Kolkata
12143 Answers
233 Consultations
5.0 on 5.0
 If the said title deed in his name bears his signature as Ramu (if he had purchased the property through a sale deed wherein he had to sign) then he should sign exactly the same way as Ramu in the NOC.,
Krishna Kishore Ganguly
Advocate, Kolkata
12143 Answers
233 Consultations
5.0 on 5.0

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