Property title documents Lost by your Bank-What to do next

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Joined: May 5th, 2015, 9:41 pm

Property title documents Lost by your Bank-What to do next

Postby kanthraj » July 21st, 2015, 6:59 pm

Procedure for getting duplicate papers of property when you lose them

Missing documents play a critical role especially in the sale and purchase of property transactions. Selling a property with a missing paper is not an easy task. In case of a lost document, you will have to get a duplicate and also shell out extra money. Here are the steps required to get the duplicate papers for your property:

1. File a police complaint immediately

You will need to file a police complaint as soon as possible, after you have realised that certain papers are missing. The FIR or first information report should be filed only by the owner of the house, stating that the property papers have been misplaced, lost or stolen. Take a copy of the FIR and keep it safely with you, as at the time of sale, buyers may ask for that as well.

2. Publish an advertisement

Once you have filed the FIR, you will need to publish an advertisement in an English daily newspaper and in any regional newspaper about the loss of property documents. Then you have to wait for the next 15 days to see if anybody finds it and returns it within that time frame.

3. File an application for share certificate

On the basis of your FIR, you can file an application for share certificate from the housing society. The authorized Resident Welfare Association (RWA) calls a society meeting and checks your proof (FIR) of loss. If your application gets approved, the housing society will charge a fee and in return issue you a share certificate. Also, ask for an NOC (non-objection certificate) from them as it plays an important role in transacting further.

4. Register with the notary

The next step is the preparation of undertaking on stamp paper about the loss of documents of the particular property along with the text of advertisement which was published in newspaper and the police complaint number. Documents will then be attested and registered with the notary, so that your undertaking becomes legal.

5. Get the duplicate sale deed

The final step is to get a duplicate copy of the property's sale deed. For this, you have to deposit copies of the police complaint, text of the advertisement, the share certificate and the undertaking stamped by the notary to the registrar office, since all the records regarding property transactions will be kept in that particular office. Then, you need to pay the fees and they would issue a duplicate copy of the sale deed.

Although, a good sum of money is required to go through all these steps, but at the end of it all, you will get a legally-certified duplicate copy for your property. Bank loans are not easily granted on such properties, but after the verification of all the documents, and the FIR, loans are sanctioned, provided the documents are found to be authentic. Loans in such cases are at the sole discretion of the bank.
Do remember that if you keep the documents in the bank and they are misplaced, you can claim compensation from the bank. It is the duty of the bank to preserve your credentials and they can be penalized for carelessness.

Property title documents

The first step is to lodge a police complaint. Thereafter, issue a public notice in two leading newspapers, preferably in an English language and a vernacular one, stating the loss of document. Depending on the newspapers you choose, this will cost you Rs 3,000-30,000. Remember to keep a copy of the complaint as well as the press clippings with you as proof of loss.

To collect duplicate proof of property ownership, you can get a certified copy of the original sale deed from the office of the concerned sub-registrar of assurances, where the documents were registered. This should cost you less than Rs 500. You can also get copy of the relevant extract of land revenue records, where your ownership would have been recorded.

In case these documents have not been registered with the sub-registrar, say, where a buyer signs an agreement with the builder, a duplicate copy can be obtained from the office of the builder. However, make sure to put on record the loss of the original sale agreement with the builder.

If your bank misplaces or loses your property documents, it must notify you immediately. It should also provide a suitable indemnity to you and prospective buyers in case you sell your property. However, you will still have to lodge a police complaint and issue a public notice. The good news is that you can ask the bank to bear the associated costs.
In the case of share certificates of a housing society, the rules change slightly. To begin with, you can submit an application for duplicates, along with an indemnity bond, to your society.

The latter is a contract, wherein you promise to make good any loss that may arise in case the original instrument is presented. "Since some people mortgage originals as security with banks and then ask for duplicates, the society may ask you to give an undertaking that you have lost the originals in order to avoid fraud," says Gupta.

The society will then invite objections by affixing a notice to its notice board as well as through a notice in the newspaper. You may be asked to foot the associated costs, and some societies even expect you to assume complete responsibility for this task.
If there are no objections within a stipulated time frame—ranging from 15 days to one month, depending on the society—you will get your duplicate certificates for a fee of Rs 500-1,000

Posts: 1
Joined: February 5th, 2015, 11:33 am

Re: Property title documents Lost by your Bank-What to do ne

Postby geoalbin » October 22nd, 2015, 11:49 am

Thanks kantharaj for this informative post.

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