Use of Force by Banks to Recover Loans

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100 comments Page 2 of 10.

Johnson M said:   7 years ago
Usha Limited with an outstanding of Rs 8,619 core.

LLOYD STEELS Renamed as Uttam Value Steel with an outstanding of Rs 9,478 crore.

HINDUSTAN CABLES with an outstanding of Rs 3,929 crore.

ZOOM DEVELOPERS with an outstanding of Rs 3843 crore.

PRAKASH INDUSTRIES with an outstanding of Rs 3,665 crore.

CRANES SOFTWARE INTERNATIONAL with an outstanding of Rs 3580 crore.

KINGFISHER AIRLINES with an outstanding of Rs 3259 crore.

MALVIKA STEEL with an outstanding of Rs 3057 crore.

What are the banks doing for this? Why only use force on the poor?

Ankita Singh said:   7 years ago
Yes, bank can totally use force to recover loans as non-payment of timely interest leads to criminal offence. But only when they have provided money after going through repayment capacity of the borrower. A legal documentation and other paper work is done to sanction the loan. If a person has not met all these conditions then bank does not provide loan. And even if it has provided without going through the financial conditions then here bank has no right to claim their money forcefully because here bank is also at fault.

Amit Singh said:   7 years ago
Dear Reader,

There is a provision of law in India for taking debt from the bank, if someone fails to deposit the debt then that person is liable for that, the bank should know why he is unable to pay their installment. Then the bank recovers it timely by the person as person problems, if he is avoiding and pretending deposit the money then the bank force it to deposit the money.

Das narayan said:   7 years ago
To recover the dues of Bank-In Govt Sponsored Scheme, the concerned Govt Dept, Who has forwarded the Loan Application to Bank should be Direct liable for Recovery And Monitoring the project and Target Should be abolished and in general Loan Schemes, security will be Mortgage And authority delivered to the Banker to sale the captioned Security in case of repayment default.

Prashant said:   7 years ago
As I see everyone perspective towards the whether, harsh steps should be taken by bank to recover loans or not but for me the bank should definitely use the power to recover loans. And I am totally agree with my friend who gives a good example of vijay mallya who ran out of country after taking such a huge loan and I am like to ask those who was against this step of bank is it possible if bank just kept silent and wait for the person to return their loans. As India is democratic country each and everyone get a right to take the loan but with that they also signed a bond of returning it and that time is given according to the loan taken by that person. If the person failed in his duties he is surely treated as a criminal because its govt money, people's money, taxes given by the normal people this is that money and if bank use force to recover loans than it is not wrong.

Sampoorn Rathore said:   8 years ago
No, they should not do as.

If there is a time limit and after that, they are not paying the loan they should make EMI accordingly.

Amit said:   8 years ago
There is a system for everything, & it should go according to that. Bank are working as a mediator to provide loan to the needy ones, that money which bank provide from their treasure is the money of their customers. Not receiving money on time would cause huge problem to the whole system, not recovering money on time ultimately affect the bank's credibility & banks have to bear the loss, which somehow does affect government's treasure.

For latest instance business tycoon Vijay Mallya has betrated banks by not returning borrowed money which is almost more than INR 10k crore, who will bear this huge lose?

So there is no doubt, bank should use force to recover loans in a defined systematic way.

Hitesh said:   8 years ago
Alright every one I read the thoughts of each and every one. Now I am giving you an example which all of you should give a thought. We all are having bank accounts in a bank. Suppose one day we went to the bank for withdrawing money and the banker refuses the payment by saying that the bank have financial crisis and will pay you only if they have money that too period is uncertain. Will you just leave them? Or restructure your account? Or you will give them time to repay?

No you will demand your money instantly and not only that may be you yourself will become goon and start fighting for your money then and there. Similarly its your public which banks lends to other people and maximum people are willful defaulter. They are not repaying money because they know that banks will not be able to do anything.

So my dear friends now tell me what bank should do? They have to take strict measures because they are also answerable for teenage money of depositors. Just to cover the loss arise because of bad loans bankers are forced to give more loans. But nobody supports them in repayment. Poor banker.

Bhushan said:   8 years ago
Hi all it seems that all here do not understand that in a Democracy, the money of the State/ Country is that of the Nation. A lot of people have mentioned in their response that the Banks give money or loans against the deposits they have. I am sorry but the RIB gives them the money and some banks have investors who are Black money Income group people who fund banks and Financial Institutes to give loans.

And why should banks need collateral security. If someone was poor or weak financially then why does the State not help him. Banks are just a medium for the financial distribution and accumulation/ deposits. Now big corporate are given Huge concessions in Tax Payments which are not known to the common public and these tax reliefs to Corporate are at times nearly the Budget of this Motherland so if there are people here who are discussing of what and how the banks should function are wasting their time.

And yes prior to Independence which people were rich, and after Independence the property of these people should have been the Property of India why is it yet with them. And why is there no economic freedom like that in some progressed Countries of this world. So stop this nonsense and try to raise your voice for Economic and Financial freedom and equality, where the Government has to strife either to give proper jobs to all or then they have to support people financially to get self employed and become entrepreneurs.

If these politicians who form the Government Cannot provide the masses with Food, Shelter and Clothing and an income source either a good job or a Financial support for business they should not govern and should resign.

Harsh said:   9 years ago
Hello everyone I am Harsh.

In my view I support the banks to take loan recover by force fully but after giving full time to customer to return money. Because after taking loan many peoples are not able or they don't want to return money. So if bank not force then most of loan taker does not return money.

Thank you.

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