Can a Bank Debit Money from Another Account to Recover Loan Dues? If you have a loan with a bank and maintain another account with the same bank, you may wonder whether the bank can adjust money lying in that account against your outstanding loan . The answer is not an unconditional yes . The bank's ability to exercise a right of lien or set-off can depend on the contractual terms, the nature of the accounts, the capacity in which the accounts are held and the circumstances of the particular debt. What is banker's lien or set-off? A bank may, in appropriate circumstances, have rights to retain or adjust funds standing to the customer's credit against amounts legally due to the bank. The RBI has recognised that banks can have a right of lien under Section 171 of the Indian Contract Act, 1872. However, RBI material also records that a bank cannot simply exercise lien over a customer's personal account for dues in another account where the customer is acting in a di...
What Documents Should a Homebuyer Preserve Before Filing a RERA Complaint? Planning to file a RERA complaint against a builder or promoter? Before starting the process, organise your documents carefully. Under Section 31 of the Real Estate (Regulation and Development) Act, 2016, an aggrieved person can file a complaint concerning a violation or contravention of the Act, rules or regulations. The applicable form, procedure and fee are prescribed by the relevant rules. The documents should help establish what was promised, what you paid, what the builder was required to do and what actually happened . 1. Booking and allotment documents Preserve copies of: Booking/application form Allotment letter Booking receipt Payment plan Unit or plot details Any initial offer or confirmation issued by the promoter These documents can help establish the original transaction and the terms on which the booking was made. 2. Agreement for Sale The Agreement for Sale is often o...