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Money lending business

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This query is : Resolved

Praveen Maniyar (Querist)

01 November 2012 I WANT TO START THE MONEY LENDING BUSINESS IN MUMBAI. I WILL OBTAIN A MONEY LENDING LICENCE. CAN ANYONE EXPLAIN ME THAT THE MAXIMUM TENURE FOR WHICH THE LOAN CAN BE GIVEN. FURTHER CAN I TAKE THE REPAYMENT ON EMI BASIS.

Amol S Joglekar

Amol S Joglekar (Expert)

04 November 2012 It is really very difficult (next to impossible) to get such a liscense. Well the answers are... tenure is 10 years. and EMI kind of repayment is very much possible.

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)

14 November 2012 You have to procure the licence from RBI for money lending and only then you should do the business. There is no time limit for lending the money. Generally if no payment is received then within 3 years you have to file the suit for recovery whatever may be the terms of year you have agreed but after 3 years it will be time barred if the borrower does not make the payment or part payument

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