Borrower's wife has an account in the same bank where he took the loan and his wife also took the laon from the same bank and i am the guarantor n he is not paying the loan. does bank would take action against his wife's account? and what action should i take against him?
2 Answers from Attorneys
Dear Sir / Madam,
The bank is required to initiate recovery proceedings against the main borrower and his wife who is the co-borrower before asking the guarantor for recovery of the loan amount. If you have taken any security from the borrower for remaining the guarantor, you should offer that security to the bank towards loan recovery.
The bank can take action against the borrower and his co borrower wife as also against you as guarantor.
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