Will bank auction property of guarantor if person does not pay back

Dad is guarantor for his friends loan and as he didn't pay money bank auction my dads property please guide me over it

Answers (4)

284 votes

If borrower did not pay and/or after sale of the principal borrower's property the due of the bank still remain bank can auction or sale the property of the guarantor to recover the loan amount , you can file legal proceeding by changeling the bank action an court of law

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223 votes

Dear Client,

If dad was guarantor, it means he has taken the guarantee of his friend- stating that in his default, ur dad will pay the due amount.

Now as this things are document based, it would be advised to have proper consultation with empaneled advocates of LawRato to get correct advice.

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266 votes

You will have to challenge the notices sent by the bank or by the appropriate court of law. You need to provide me the details of your case and documents. After going through the documents then suitable advice can be given to you.

97 votes

Yes sir. If the creditor is unable to recover from the principal borrower and / or other co-borrowers then yes creditor - bank can come after the guarantor. If guarantor is unable to pay then they can auction off guarantor's property - in this case your dad's property.

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