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What are the documents which bank issue after granting loan


29-Sep-2023 (In Banking / Finance Law)
I took a home loan from pnb bank last year for an under construction property. I completed the registration formalities and submitted the original copy of the title deed and a copy along with it this month. The bank didn't provide me with any receipt for the same, when I refused to submit the original title deed without the receipt they threatened to file a case against me. They said I will get a receipt by post once the documents are submitted to the head office. I being a lay man had to believe and submitted the original title deed but now I fear what will happen if the bank lose the title deed then I won't be able to claim. Bank have also not gave me the loan agreement copy and said that PSU banks unlike private banks only share the sanction letter. Is the bank right in both the above case?
Answers (2)

Answer #1
780 votes
In case of newes registration all Banks take original IGR at the time of making final payment or soon after process of registration is complated and Title deed is taken from the office of the Registrar to the Bank's people.
You need not worry since there are so many things which prove possession of the Title Deed by the Bank. You please continue your EMI.

Answer #2
874 votes
Normally bank issue a sanction letter in which details are available name ly terms and conditions of the loan, details of securities etc. Most of the banks do not provide any receipt.But in a Case,honble Supreme court directed the banks to provide photocopies of all the security document executed by the borrower.

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