Need your help to comeout from grandfathers Home Mortgage Loan
My self Vikas Kashid a residential of Maharashtra state. Sending you the detail of my Grandfather home mortgage loan which was taken by my grandfather in 1990 from Shree Samartha Co-operative Gruhataran Sanstha Satara a div of The Maharashtra state co-operative housing finance corporation Mumbai (Satara Branch).
Principal of the loan was 64000 (Two loans of 32000, installment 80 (3month-1installment), 1327 per installment). My grandfather got expire in 1998. From 1993 to 2000 my father paid 75 EMI out of 160 installments, but unfortunately my father lost his job because of his addiction to alcohol and we couldn't pay any installment afterwards. Last paid amount was 5k which was paid in March 2008.
Now finance company is asking me to pay 4.22 Lakh to close the account, requesting you to suggest me what need to do to close this as my family is not that much financially strong to pay such high amount. 4.22 Lakh is very high amount for me and my family.
If I don't pay an amount before 31st March 2016, Finance company shall seize my house and 17R filed under the section of Maharastra co-operative sociery act 1960 (2). My Family is in tension. Really don't know what to do?
Loan detail are as per below. Please reply with your valuable inputs. Is there any one time settlement scheme for home mortgage loan?
If yes how much amount would have to pay? Please give me calculation for this.
When I speak with the Manager of the housing finance society he told me that if I choose a One time settlement scheme so Housing finance society would give me a 100% relaxation on a Statuary interest, (So I need to pay balance 55 thousand and simple interest 1.36 Lakh) which is also to high for me. (Till date as a installment my family has paid 96k, From 1993 to 2000) And for this one time settlement Housing Finance gave me the deadline of 31st March 2016.
One of my friend told me that as per the law, in one time settlement we have to pay Principle balance amount and the same amount of as a simple interest (Ex: If principal is 100 rupees so finance company won't charge us above 100 rupees as a interest, so in a one time settlement, if I pay 200 rupees my account would be close) . Please let me know is there any such kind of law which help me and my family to close my grandfathers loan account.
My Friend also suggested me about this helpline. Please help me come out from this situation as I belong to poor family.
Below mentioned detail are provided by finance company.
Loan taken Year : 1990
Loan Amount : 64000
Loan Period (3 months installments) : 180 installments
Loan Period (Year) : 20
Interest Rate 15.85%
EMI Amount per month: 1327.36
Till Date Installment Paid :73
Till Date amount Paid : 96897
Balance Principal : 54,577
Balance Simple Interest :1,36,990
Balance Statuary Interest : 2,30,783
Now home finance company is asking me to pay : 4,22,350
Me and my family is in trouble and need your help for come out from this. It is necessary to understand my family background before studying my case.
My grandfather was a farmer and he was illiterate. He had only 27 R farm-land and we were totally depend on it. That time my father was working in a sugar factory as a worker.
In 1990 my grandfather applied for a Home mortgage loan at The Maharashtra State co-operative housing finance Ltd for 64k (Two loans of 32k). My grandfather was a owner of field land, my father filed an application on my grandfathers name.In 1990 Finance company approved the loan without wasting time.
Till 1993 my grandfather didn't pay any installment, as I mentioned above that we had very low income sources and my family couldn't managed to pay. In 1993 above mentioned finance company seized my home, in 1994 we sold 11R filed and paid some amount as a installment. Then only finance company allowed us to stay in my house.
From 1994 to 2000 installment been paid from my father salary, but that was also irregular. But in 2000 unfortunately my father lost his job and get addicted to alcohol. In 1998 my grandfather got expired and finance company transferred the loan to my father account.
From 2000 to 2015 we paid only one installment of 5k in 2008. In 2008 we received an notice in which they asked us to visit their office (Satara Branch). That time I paid 5k to extend the legal action.That time they took a letter from me in which they mentioned that I am accepting the balance loan amount and shall pay it on a urgent basis.
From then they regularly used to send me notices on every quarter ends and March endings in which they demanded the money for extend the legal action. There was no any income source so we couldn't pay any amount.
From 2000 to till date we have paid only 5k only.
On 15th October 2015 I got a notice from finance company in which they are asking me to paid 4,22,352 (Four Lakh twenty two thousand three hundred fifty two rupees).
Detail are as per below.
(A)Pending Principal : 54577
(B) Pending Interest : 136990 (Interest rate 15.85)
(C) Pending Penalty Interest : 230783
* Now they are asking to Pay (A+B+C) total 4.22 Lakh
Till date paid : 96871
In their statement they are saying that out of 160 installments (1327 each) 73 installment been paid (as a installment 96871 rupees has been paid) and 107 installments are pending.
I really don't know what to do? Me and my family are in trouble and require your guidance and support to come out from this. As per the finance company statement my family has already paid 96k and still they are asking for 4.22 Lakh. I am working in a private company. My small brother is working as a security guard, my second brother is handicap and does not have any income source. My family has 8 members are whole family is depend on me.
Requesting you to guide me what need to do.
The loan was taken in 1990 and that time I was just 8 years old and totally unaware about this loan. First time I came to know about this loan in 2008.
When I asked the detail to Finance company they gave me a balance statement and agreement copy between Finance Company and My Grandfather.
I have some doubts in my mind (which indicated an intrigue in this case)
When my grandfather had only 27R filed, How any finance company approve such a high loan amount.
In 1990, 27R field valuation might be very less than a loan amount.
My grandfather applied for an loan and it's approved quickly without wasting time.
How in current notice only the guarantor name has been mentioned, why the same has been mentioned in old notices.
My Principal amount was 64k, as a Installment I have paid almost 1 Lakh and still they are asking for 4.2 lakh.
Loan period was 20 years which started from 1990 to 2010. Its 2016 then why they waited for so long. Why they didn't came with any legal action?
Is this Finance Company registered with HFC?
Please revert back with your advice.
Waiting for your valuable reply.
Please help me Sir.