According to Section 48 of the Registration Act, 1908, a mortgage by deposit of title deeds prevails against any subsequent mortgage relating to the same property. Mortgagor : He is the owner of the property. In certain cases, the mortgagee can foreclose the property. In India, there is no difference between the two types of mortgages. The time for repurchase, however, has been specified, namely, three years. Because of the nature of money lending, and frequently between banks and borrowers, the law gives significant legal protection to borrowers against the enforcement of unfair bargains. For example, a property transferred to liquidate prior debt will not constitute a mortgage.
When character of a document is in question, although the heading thereof would not be conclusive, it plays a significant role. Anomalous mortgage A mortgage which is not a simple mortgage, a mortgage by conditional sale, an usufructuary mortgage, an English mortgage or a mortgage by deposit of title-deeds within the meaning of this section is called an anomalous mortgage. This shortcoming can be overcome by inserting a covenant by which the mortgagee is given the power of sale. As the deposit of title deeds is the important feature of Equitable Mortgage, ordinarily banks do not accept duplicate copies of title deeds certified by the Sub Registrar for the purpose of creation of Equitable Mortgage. The deed is to be registered when the principal money is Rs. In this case, the term is only for a period of three years which is reasonable. Delivers to a creditor or his agent documents of the immovable property.
Since, this involves going to the Court, it is expensive and time consuming. At present all the cities and states in india this type of mortgages are used. You will be entitled to directly attorn to the landlord by paying rent and hereafter I will have no right to deal with the property in any manner. Actual possession of property by the borrower may be verified by physical visit to the property. Anomalous mortgage meaning in Hindi हिन्दी मे मीनिंग is विलक्षण बंधक.
In that case, there existed a provision for payment of interest at the rate of half per cent per annum payable on the principal amount at the end of the long period which led this Court to conclude that there was a clog on equity on redemption. Getting a degree is expensive and time-consuming. In the sale process itself, there is a duty of care. As between the equities, the prior in time prevails. No recipients of content from this Web site should act, or refrain from acting, based upon any or all of the content of this site.
Most common form of mortgage accepted by banks in India is Equitable Mortgage or Mortgage by deposit of title deeds. Examples of such mortgages are: a a simple and usufructuary mortgage, and b an usufructuary mortgage accompanied by conditional sale. So, equitable mortgage means, mortgage by deposit of title deeds. Possession of the properties had been handed over. If the amount is paid, the property is transferred back to the mortgagee. If an equitable charge is created, the claim of the beneficiary under the trust will prevail over the equitable mortgage.
If the branch is located in non-notified place, the mortgagor can report to a branch in any notified centre for delivering the title deeds. Such is not the case here. But this clause is not applicable in case of Equitable Mortgage. In other words, mortgage means transfer of some interest in property while the legal ownership continues with the mortgagor. Why such a deviation from the normal practice was made has not been explained by the appellant. The transaction is called mortgage by conditional sale and the mortgagee a mortgagee by conditional sale. In a case of absolute transfer, the vendee has an absolute right to deal with his property in any manner he likes.
In the leading case, , a group of appeals all involved a husband allegedly pressuring his wife into signing a mortgage agreement with a bank, where security was over the family home. . What was not noticed was that by reason of the said deed only half of the right of the vendor was sought to be assigned. Under the sections 23 and 27, a notice of a mortgage must be filed with for the mortgage to be effective. If the owner makes does not the principal + interest amount then the bank will sale that property and it will become absolute sale. Where a person in any of the parts of India is eligible for these types of loans. However, this possibility is not there, if the equitable mortgagee holds the original title deeds.
Here the transferor is called a mortgagor and the transferee a mortgagee. It furthermore failed to take into consideration that no evidence had been brought on record to establish the relationship of creditor and borrower between the parties. However, in exceptional situations, equitable mortgage will be allowed to be created by deposit of certified copies of title deeds in case concrete proof is produced to the effect that the originals were lost irretrievably. Accordingly, if banks wished to ensure valid mortgages they would need to have confirmation from an independent solicitor that the spouse fully understood the transaction. The Privy Council advised that while delay in the claim meant the sale should not be set aside, damages could be awarded because of the significant.
The House of Lords agreed that undue influence would make a contract voidable, and if a bank should have realised this possibility, it could not enforce the mortgage agreement against the spouse's share of the home. Assignment was in respect of the vendor's one half share in the property. A mortgage is the transfer of an interest in the specific immovable property for the purpose of securing the payment of money advanced or to be advanced by way of loan, an existing or future debt, or the performance of an engagement which may give rise to a pecuniary liability. The mortgagee, therefore, is entitled to take immediate possession of the property. The transferor is called a mortgagor, the transferee a mortgagee; the principal money and interest of which payment is secured for the time being are called the mortgage-money, and the instrument if any by which the transfer is effected is called a mortgage-deed. Section 88 confirms that a buyer after a sale receives an unencumbered title.