whether agriculture land can be mortgaged in nationalized bank in orissa state?
2 Answers from Attorneys
Dear Sir / Madam,
YES, banking rules provide and permit an agricultural land to be mortgaged for a loan in a nationalized bank in Orissa, or for that matter in all States of India.
Agriculture land is state subject. there are some some state that prohibits mortgage over agriculture land.Banks never discourage Agriculture lands as security. Though the same is excluded from the purview of SARFAESI Act for possession by the lender in case of default, there is statutory obligation on the part of nationalized banks to accept them as Prime as Collateral security to comply by the Priority Sector norms fixed. No state can exclude Agricultural lands as security.
acc to banking rules of orissa you can get your land mortgaged in nationalized bank
Related Questions & Answers
If any loan account is sub-standard in cibil for 6 months and later becomes standard... Asked 10/15/13, 9:49 am in India Banking Law
How to decalre a person untraceable? How to say a company is not in existence? Asked 10/15/13, 5:07 am in India Banking Law
Property bought by my grandpa,my father inherited it from him, my father is said to... Asked 10/12/13, 9:24 am in India Banking Law
Is insufficient fund and effects not clear both are same ?In case of funds under... Asked 10/11/13, 1:26 am in India Banking Law
I have kept my FDR against vehicle loan for my friend. How can I take out the FDR?... Asked 10/10/13, 4:59 am in India Banking Law