In today’s time, fulfilling the dream of owning a house has become one of the most expensive deals. Not everyone has a huge amount of money to buy this home, so people take a home loan from the bank along with their hard-earned money and pay its installments. Many precautions have to be taken while taking a loan, but if your installments have been completed or you are going to close your loan, then it is very important to pay attention to some things. We are telling you what documents you need to take after paying the entire bank loan, if you are careless in this, then big trouble can arise.
Many banks give home loans for buying a house and while giving it, they keep the registry of the property you have bought. Then when you repay the loan, it is given to you. If you too have a home loan running or it is about to end or you are planning to close it by depositing a lump sum amount, then along with repaying the loan, do not forget to take two important documents from your respective bank, it is better to take them from the bank, otherwise it can create problems for you. The first document among these is NOC i.e. No Objection Certificate and the second is Encumbrance Certificate.
This certificate received from the bank after paying the home loan is actually the biggest proof that you have paid the entire loan of the bank and now you do not have any kind of dues. Getting a NOC or No Objection Certificate from the bank means in other words that now you do not have to pay anything to the bank. While taking NOC, some other things also have to be taken care of, such as check on this document whether the date of loan closure, your name as per the registry, bank account details, all the information related to the loan and your property details are filled correctly or not. If you have to make any correction in any information, then talk to the bank officer and get it corrected.
The second important document is the Encumbrance Certificate, which you have to get from the Registrar’s Office after closing the loan. This document confirms that there is no liability of any kind on your property now. It is also important for you to have this important document because when you sell your property, you have to show it to the buying party. In such a situation, along with closing the loan, take this Encumbrance Certificate. Not only this, this certificate can also prove to be helpful in getting you a loan in future.
Getting these documents is not only important to prove that you have paid off your entire liability, but also so that there is no problem in selling this property in the future. Therefore, after checking carefully, you must get these documents from the bank and registrar office.
Source (PTI) (NDTV) (HINDUSTANTIMES)