NOC from Bank for Property Sale (Loan Closure)

To, The Branch Manager [bank_name], [branch_name] Date: [request_date] Subject: Release of original property documents and No Objection Certificate — loan account [loan_account_number] Sir/Madam, 1. I, [borrower_name], held a [loan_type] bearing account number [loan_account_number] with your branch, secured against the property described below. 2. THE PROPERTY [property_details] 3. The said loan has been repaid in FULL and the account was closed on [closure_date]. No amount remains outstanding. 4. I therefore call upon you to: (a) RELEASE all original movable and immovable property documents held by you in respect of the said loan, namely: [documents_held] (b) REMOVE THE CHARGE registered in your favour with the Central Registry (CERSAI) and with any other registry where it has been recorded; (c) Issue a NO OBJECTION CERTIFICATE and a loan closure statement confirming that nothing further is due; (d) Return all unused post-dated and security cheques and any signed blank instruments held by you; (e) Update the closure with the credit information companies so that my credit record reflects the account as closed. 5. Kindly confirm the date and the branch at which the original documents will be available for collection. Yours faithfully, [borrower_name] Loan A/c: [loan_account_number] Contact: [contact_number] ACKNOWLEDGMENT OF RECEIPT OF ORIGINAL DOCUMENTS Received the original documents listed above on ______________. Borrower's signature: ______________________ ──────────────────────────────────────────────────────────────── THE THIRTY-DAY RULE, AND WHAT DELAY COSTS THE LENDER This is not a request for a favour. Since 1 December 2023 the Reserve Bank of India has directed all regulated entities — banks, NBFCs including housing finance companies, asset reconstruction companies and co-operative banks — to release all original movable and immovable property documents, and remove charges registered with any registry, WITHIN THIRTY DAYS of full repayment or settlement of the loan account. WHERE THE DELAY IS ATTRIBUTABLE TO THE LENDER, IT MUST COMPENSATE THE BORROWER AT RS 5,000 FOR EACH DAY OF DELAY. If your documents are lost or damaged while in the lender's custody, the lender must assist you in obtaining duplicate or certified copies and bear the cost. It gets an additional thirty days for that — a sixty-day outer window — after which the daily compensation applies. This compensation is without prejudice to any other remedy you have in law. PRACTICAL POINTS: - Put the request in writing and keep proof of delivery. The thirty days run from repayment, but a written record is what you will rely on if you claim compensation. - Check the loan sanction letter. Sanction letters issued on or after 1 December 2023 are required to state the timeline and the place at which original documents will be returned. - Verify the charge is actually removed, not merely promised. Until it is, the property still appears encumbered — which surfaces years later at a sale, a fresh mortgage, or a transfer to heirs. - Check your credit report about a month later to confirm the account shows as closed.