Apni Law Staff asked 2 years ago
My 78-year-old father signed as a guarantor for a loan my sister took from a non-banking finance company two years ago. She told him it was for opening a bank account and didn’t disclose the true purpose. She hasn’t repaid the loan, which has now ballooned to 4 lakhs, and the finance company has bounced a cheque she signed against my father’s account. I’m worried about the legal implications for him. Can I protect him in this situation? Is it even legal for a finance company to accept a 78-year-old pensioner as a guarantor? How can we prove his income and age make him ineligible for this role? What are our options for getting out of this mess?
Best Answer
Apni Law Staff answered 2 years ago
Your father may be legally liable for the loan as a guarantor, regardless of his age. The finance company can pursue recovery from him. To protect him, you should try to negotiate a settlement with the company, potentially by proving your father’s inability to repay based on his age and income. You can also explore legal options like filing a complaint with the consumer forum or seeking legal advice to explore ways to challenge the loan agreement.
Please login or Register to submit your answer
