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Attachment by bank over loan amount n can we able to buy any vehicles


21-Jan-2023 (In Property Law)
Sir, my fathers property has attach by bank over a loan of 40 lakh amount plot plus house cost around 80 lakh.. Procedures is under court n bank is not able to sell property becoz of decreased price of land after gst... my mother is planing to buy a car.. Will it cause any problem in future/ can bank attach car as property too
Answers (2)

Answer #1
380 votes

If a property has been attached by a bank due to a loan default, the bank typically has the right to sell that particular property only to recover the outstanding loan amount.
Regarding your mother's plan to buy a car, it's important to bear in mind that if the property has already been attached by the bank, it may not directly affect the car purchase and it may not lead to the car attachment in the bank. Generally, the bank's claim is limited to the attached property or assets related to the loan. However, if the loan default issue remains unresolved and the bank obtains a court order for recovery, they might have the authority to attach other assets if they are deemed as part of the borrower's assets that can be used to repay the debt.

Answer #2
952 votes
The bank can attach the property of a person only if she or he is a borrower or guarantor to the loan. If your mother is not either of it, the bank cannot attach her property. So in a normal scenario they cannot take the car.

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