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Interest Charged On Pending Payment For Flat Under Construction
14-Jul-2023 (In RERA Law)
Hi, we signed a contract in Dec 2016. The payments due dates are mentioned in the contract and that a 18% interest for delayed payments will be charged. The delivery of the flat is delayed by almost 2 years now. I am in Dubai and yesterday my family in India received a notification by speed post demanding an interest for delayed payments.
There was a payment of 11 lakhs due in 11/2017, but the request was made by their staff only in 07/2019 asking us to pay ONLY 9 lakhs based on construction progress, we had paid the same immediately. They are charging 18% interest for 11 lakhs from 11/2017 to 06/2019 now in 2020.
They are also charging the interest for the remaining 2 lakhs from 07/2019 till 06/2020.
We were never informed about the interest when we paid in 2019. Neither was there any INVOICE raised for any of the payments nor were any REQUESTS or REMINDERS made to us either by emails or post. Now they have sent a speed post demanding interest. What can I do? Please help.
At the first as there is a delay from builder to complete and handover possession you are entitled for delayed compensation. The ineterest charged is one sided it seems. You can file a Rera Compliant and seek for compensation for builder delay also you can fight your case on the interest charged by builder. You dont pay any intetrest charged by builder and you ask for delay compensation.
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Adv. Sharada H V
Bangalore | 100+ Answers
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charged interest at the rate 18 per cent per annum for any delayed payments made by the purchasers and there is no justification in offering a meager ₹5- per square feet, which comes to approximately 1.4% annum which is only a paltry percentage of what the company was charging for any delayed payments”.
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Adv. Vedashree A
Bangalore | 500+ Answers
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