Liability of a son for father's loan

110 votes

As per the extant acts, legal heirs are responsible for the debts of parents to the extent of the property inherited by them from such parent.  In your case, you are telling that your father had taken loans from banks also for bad habits.  Banks do not give loans for gambling etc. May be he took loan showing some purpose and misused the funds and cheated the banks also.  As long as your Father is alive, no creditor of his can sue you or attach your properties, unless you have signed as a Guarantor or Coobligant for his loans. In case you have signed as Guarantor or Coobligant for the loans of your Father, the Creditors of your father can surely proceed against the property which is self-acquired by you also.  If you have not signed any papers as noted above, the Creditor cannot sue you attaching the property which you have self-acquired. In your question you have also not clearly mentioned whether your Father gave you any property which is now in your name.  You have only mentioned about a house which is in your Mother's name.
 
In case, any Creditor sues you attaching your own self acquired property, although you have not signed any papers standing as Guarantor or Coobligant to your Father's debts, you have to appear before the Court and prove that the property so attached is self-acquired and no harm shall come your way if you are right.  Of course the time the case takes to complete its full course is naturally longer and during that period you have to undergo the tension and agony, which you have to take in the strides of life.
 

LawRato LawRato