Various Information

Advances Against Land And Building

Advances Against Land & Building (mortgage Of Land  & Building) 

The Manager/Officer should ascertain that –
1. The documents of title to the property in original (preferably including all prior sale deeds. Sale certificate etc. to ensure that the chain of documents is complete) and certified true copies of the latest revenue records are held on record.

2. The branch has on record legal opinion on the mortgaged property showing clear and marketable title as also search report regarding encumbrance and that the branch has ensured compliance of all stipulation made in the legal opinion.

3. The branch has on its record valuation report on the mortgaged property from a competent and recognized / approved/ empanelled values.

4. The charge on property is properly created and duly registered with the Registrar of Companies and the concerned Authorities (Municipal etc.) are informed of creation of charge.

5. The branch has on its record the latest corporation/municipal/house tax paid receipts issued by the corporation / municipal authorities.

6. The Branch has on its record income tax clearance certificate u/s 230 (A) and clearance under Urban Land Ceilings Act whereas required.

7. A true copy of the mortgage deed is kept on record till the original mortgage deed is received back from the sub-Registrar is obtained and preserved.

8. In case of mortgage by deposit of title deeds (i.e. equitable mortgage) memorandum of deposit in the prescribed form has been recorded and is held alongwith the title deeds.

9. The branch where equitable mortgage has been created is one of the notified centers for such mortgages.

10. The mortgaged property is fully insured against fire and earth quake an othe risks as per terms of sanction.

11. The search report/valuation report are updated periodically and property is physically verified.

12. The Inspecting officer should also examine the contents of the mortgage Deed with special reference to the following –

a. Description of the bank.
b. The clause regarding consideration of credit facilities, major terms of sanction.
c. Description of the mortgaged property etc.
0 Comments For " Advances Against Land And Building "