If you’ve recently applied for a home loan, you may have come across the term “Notice of Intimation.” But what exactly does it mean?
In this article, we will see the concept of Notice of Intimation (NOI) for home loans, its significance, and how it affects borrowers.
Introduction
When it comes to buying a home, a significant number of people rely on home loans to finance their dream homes. However, with the rise in fraudulent practices in the real estate sector, it has become essential to have legal safeguards in place to protect both borrowers and lending institutions. This is where the Notice of Intimation comes into the picture.
The Notice of Intimation (NOI) is a document that needs to be filed by borrowers who have obtained a home loan. It informs the registrar that the property has been mortgaged and that the lender holds a right over it until the loan is repaid. The NOI acts as legal proof and protects both parties’ interests in case of any disputes or fraudulent activities related to the property.
Importance of NOI for Home Loans
When you apply for a home loan, you enter into an agreement with the lending institution that outlines the terms and conditions of your mortgage. If this agreement is registered, there is no need to file a Notice of Intimation. However, if the agreement is not registered within 30 days of receiving your first loan disbursement, it becomes necessary to file an NOI with the Sub-Registrar Office.
It’s important to note that filing an NOI is not the responsibility of the lending institution, but solely rests on the borrower. Failure to file an NOI can result in penalties as per Section 89C of the Registration Act, 1908. Additionally, not filing an NOI can also put the legality of your mortgage at risk.
Notice of Intimation Charges for Home Loans
When filing a Notice of Intimation, borrowers need to be aware of the charges involved.
Let’s have a look at the notice of intimation charges for home loans:
Filing charge:
A fee of Rs. 1000 needs to be paid for filing the NOI, irrespective of the loan amount.
Document handling expenses:
If you choose to file online, you are exempted from paying the document handling expenses of Rs. 300.
Stamp duty and filing fees:
The Stamp Duty and filing fees can be paid electronically via GRAS (Government Receipt Accounting System) if you opt for e-filing. In the case of physical filing, these charges can be paid using any authorized method, including GRAS.
4. Payment mode:
If you are paying the filing fee by check, it should be made payable to your city’s corresponding Sub Registrar’s office. The document processing fees must be paid in cash.
It’s essential to keep notice of intimation charges in Maharashtra in mind when planning your budget for a home loan.
E-Filing Notice of Intimation for Home Loans
E-filing has made the process of filing a Notice of Intimation much more convenient and efficient. These are some new rules of notice of intimation. Here is a step-by-step guide to help you navigate through e-filing:
Payment for stamp duty:
To begin the process, you need to make the payment for stamp duty using GRAS (Government Receipt Accounting System).
Attach passport-sized photos:
Attach passport-sized photos of your signature to the application.
Authorisation:
Get an authorised official from your financial institution to sign and authenticate the application.
Submission:
Send the original application along with a photocopy of the notification to the Sub Registrar’s office.
Review and receipt:
Once all documents have been thoroughly reviewed by the Sub Registrar, you will receive a receipt for the filing fee and document handling fees.
Documents Required for E-Filing Notice of Intimation
To successfully file a Notice of Intimation through e-filing, you need to have the following documents ready:
eSBTR/Stamp Papers/Franked Deposit Memorandum:
This document should have authentic signatures and stamps from the bank’s officials.
Photocopy of title deeds with banker’s stamp and signature:
Ensure that the bank’s officials duly stamp and sign these documents.
Passport-sized photographs:
You and the co-applicant need to provide passport-sized photographs.
Accepted sanction letter (Photocopy):
The sanction letter must have signatures from lenders and credit managers.
PAN card:
You and the co-applicant must provide a copy of your PAN card.
Recent index:
Two copies of the recent index related to your property.
Notice of intimation of mortgage:
This notice needs to be presented through a deposit of title deed with Rs. 100 stamp paper or franking, along with Rs. 300 for handling fees. The notice should be signed by a bank representative with self-attested identification.
Deposited documents:
Photocopies of all the documents deposited at the Sub Registrar’s office.
Original letter from the bank:
This letter should include routing information related to your home loan.
Summing up
The Notice of Intimation (NOI) is a crucial document that borrowers need to file when taking a home loan. It protects both parties involved in the transaction and helps prevent fraudulent practices in the real estate sector. It is essential to understand the process and charges associated with filing an NOI to ensure compliance with the law and safeguard your mortgage’s legality.
If you’re planning to apply for a home loan, it’s important to choose a reliable lender who can guide you through the entire process, including filing an NOI. Tata Capital offers a range of home loan options with competitive home loan interest rates, foreclosure charges, and personalized solutions tailored to your needs.
23 August 2024
5 mins read
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