PSBs to start e-auction of properties of loan defaulters
By Joseph Samson
Mar 11, 2013
Print    Email    RSS   

Government banks in view of increasing bad debts have started e-action of properties of defaulting customers.

Minister of state for finance, Mr. Namo Narain Meena said, "In line with the instructions from government, public sector banks (PSBs) have already finalized the service providers for e-auctions and many banks have started conducting e-auctions of immovable properties under SARFAESI Act".

The issue was discussed during the meeting of general managers of all public sector banks which was held on November 14th, 2012 where all PSBs were suggested to carry out e-auctions of immovable properties, under the Securitization and Reconstruction of the Financial Assets and Enforcement of Security Interest Act 2002 (SARFAESI Act).

The e-auction was the most preferred mode as the government thinks that this will be free, fair and transparent.

The PSBs are facing crisis of loan turning bad due to the macro-economic situation in the country. Loan default in these banks have gone up from Rs 94,000 crore in 2011 to Rs 1.70 lakh crore as on September 2012.

The government has also asked banks to take new initiatives to increase the pace of recovering and manage NPAs.


(Comments Posted : 0) Post Your Comments
Show All Comments
 Select a product:

 Select a product:

Know your home loan better
J&K Bank raises PLR
How to increase one’s Home Loan Eligibility
NRI Banking in India
Income Tax Benefits on Joint Home Loans

PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive