Finance Ministry allows HFCs above Rs 100 cr to use to SARFAESI law
- Ministry of Finance has allowed housing finance companies (HFCs) with asset size of over Rs. 100 crore to recover the dues using SARFAESI law.
- Earlier HFCs with assets over Rs. 500 crore (and notified by Finance Ministry) were allowed to use SARFAESI law to recover dues.
- SARFAESI Act 2002 allows banks and other financial institutions to auction residential or commercial properties (of Defaulter) to recover loans.
Points to remember:
- housing finance companies (HFCs) with asset size greater than _______ are allowed to use SARFAESI law to recover dues?- Rs 100 crore
Source: thehindubusinessline