All about CERSAI

Consumer Voice - - Bfsi -

As men­tioned ear­lier, CERSAI is a cen­tral agency that main­tains records of eq­ui­table mort­gages with all banks. This makes tak­ing a sec­ond loan against the same prop­erty im­pos­si­ble. All EM in­for­ma­tion is made pub­lic so that banks and in­di­vid­u­als can check

Why This Act?

Many un­scrupu­lous peo­ple were dup­ing in­di­vid­ual banks by re-mort­gag­ing the same prop­erty, us­ing forged doc­u­ments and show­ing th­ese as orig­i­nal doc­u­ments. This caused loss to the banks when they filed cases in courts/debt re­cov­ery tri­bunals due to non-pay­ment of loans taken against prop­er­ties un­der EM.

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