Registered Mortgage:
In simple terms registered mortgage is category of loan where the borrower willingly gives full right of the property to the bank in case of a loan default.
Example: In such a scenario, you as a borrower have allowed the bank to dispose the property in whichever manner they desire if they default the loan.
In Registered Mortgage borrower must approach the Sub-Register office. Registered Mortgage registration is mandatory. It is more expensive than equitable mortgage.
If you fail to repay, the property is transferred to the bank, and it can do whatever it wants to do with it.
How is registered Mortgage done:
In simple terms, in a registered mortgage, the borrower must make a statement on the property with the sub-registrar through a formal, written process as proof of transfer of interest to the lender as security for the loan. A registered mortgage is also known as a ‘Deed of Trust’.
To check the status of mortgage on a property in India online, you can follow the steps given below:
Visit the official website of CERSAI at https://www.cersai.org.in/CERSAI/home.prg.
1. Click on ‘Public search’ tab.
2. You will see for options; Asset based search, debtor-based search, AOR Based search, search report.
Registered Mortgage is secure?
Equitable Mortgage is more risky than Registered Mortgage. Whereas Registered mortgage is risk free because of the security that it provides to both the parties (lender & Borrower) on the property.
How to remove a registered Mortgage?
If the mortgage has been registered, then you should take an NOC from registrar’s office to get the lien removed. For this both the parties, borrower and representative of the bank need to be present there to remove the charge.
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