The Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. It allows banks to seize and sell assets of loan defaulters WITHOUT going to court. The bank must send a 60-day default notice, and the borrower has 30 days to object.
You default on your home loan for 3 months. The bank sends a SARFAESI notice giving you 60 days to pay. If you don't, they can take possession of your house and auction it. Your defence: respond within 30 days with valid reasons, or approach the DRT (Debt Recovery Tribunal).
Upload your agreement and our AI will explain every clause — including sarfaesi act — in plain language.
🛡️ Analyse Your Document Free →