HOME LOAN CONDITIONS- RBI-01-07-2011


A. Housing Loan for building construction

  1.        i.            In cases where the applicant owns a plot/land and approaches the banks/FIs for a credit facility to construct a house, a copy of the sanctioned plan by competent authority in the name of a person applying for such credit facility must be obtained by the Banks/FIs before sanctioning the home loan.

 

  1.     ii.            An affidavit-cum-undertaking must be obtained from the person applying for such credit facility that he shall not violate the sanctioned plan, construction shall be strictly as per the sanctioned plan and it shall be the sole responsibility of the executants to obtain completion certificate within 3 months of completion of construction, failing which the bank shall have the power and the authority to recall the entire loan with interest, costs and other usual bank charges.

 

  1.  iii.            An Architect appointed by the bank must also certify at various stages of construction of building that the construction of the building is strictly as per sanctioned plan and shall also certify at a particular point of time that the completion certificate of the building issued by the competent authority has been obtained.

B. Housing Loan for purchase of constructed property/ built up property

  1.        i.            In cases where the applicant approaches the bank/FIs for a credit facility to purchase the built up house/flat, it should be mandatory for him to declare by way of an affidavit-cum-undertaking that the built up property has been constructed as per the sanctioned plan and/or building bye-laws and as far as possible has a completion certificate also.

 

  1.      ii.            An Architect appointed by the bank must also certify before disbursement of the loan that the built up property is strictly as per sanctioned plan and/or building bye-laws.

C. Unauthorised colonies

No loan should be given in respect of those properties which fall in the category of unauthorized colonies unless and until they have been regularized and development and other charges paid.

D. Commercial Property

No loan should also be given in respect of properties meant for residential use but which the applicant intends to use for commercial purposes and declares so while applying for loan.

HOME LOANS-BANK SANCTIONS-DOCUMENTATION-UNDERTAKINGS-AFFIDAVIT- READ IT


HAVE YOU READ ALL THE CLAUSES AND CONDITIONS ON WHICH THE HOME LOAN HAD BEEN SANCTIONED TO YOU?

HAVE YOU EXECUTED AN UNDERTAKING OR AN AFFIDAVIT TO THE BANK REGARDING THE COMPLIANCE?

CHECK IT ONCE!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! THE UNDERTAKING EXECUTED BY YOU TO THE BANK?

WE ARE PUBLISHING ONE SUCH AFFIDAVIT WITH GENERAL CLAUSES EXECUTED ON OATH :

 

I, XXXXXXX, S/O/W/O, AGED ABOUT, RESIDING AT  XXXXXXXXXXXX, do hereby solemnly affirm on oath and declare as follows:

I am aware that a special condition is stipulated in the sanction letter for submitting an affidavit to the effect that there are no statutory violation and no violation of the bye-laws of the building society in the construction of the building.

In compliance of the above stipulation, I/we do hereby declare and undertake that I/We have verified all the records relating to the construction and declare that the built up house/flat is constructed is as per the sanctioned plan and in conformity with bye laws annexed to the plan.  I/We further declare that the building is constructed as per the sanction plan without violating the rules stipulated by Corporation/Municipality/panchayat or any other local bodies, who are competent to grant permission for construction of the flat/house.

I/we further declare that I/We are aware purchasing the building with our sole responsibility that there are no statutory violations and if it is discovered by the bank that the building constructed is not as per the sanctioned plan or is in violation of building bye-laws annexed to the plan, the bank shall have the power and authority to recall the entire loan with interest, costs and usual bank charges.

 I/We further declare that what is stated is true and true to the best of my/our knowledge.

                                                                                                                                                                 DEPONENT

WHAT WILL HAPPEN, IF THE UNDERTAKING MADE IS FALSE OR UNTRUE?

HAVE YOU THOUGHT ABOUT IT, BEFORE SIGNING IT?

THINK WELL BEFORE YOU INK