banner_ad

LOAN TO COMPANY BY DIRECTOR'S COLLATERAL

Pvt ltd 1925 views 8 replies
User Avatar

Practicing Chartered Accountant
1736 Points Posted on 25 February 2020

Date : 25.02.2020

Sir/ Madam,

I had a query regarding corporate law.

I needed a confirmation where can a director give his or her personal fixed deposits as collateral security in bank to get loan from the bank in the name of private limited company or are there any prohibitions ?

Thanks in advance.

 

11 Reply Share Follow
On 25 February 2020 at 22:46 Report
Replies (8)
User Avatar

CFO- at NHTF
58280 Points Posted on 26 February 2020
Yes.Director can give guarantee at his own risk.If company goes for insolvency then he may have loose his fixed deposits to the extent of guarantee..

There is no prohibition to give guarantee.For giving guarantee director can charge comission as well
59 Reply
On 26 February 2020 at 01:34
User Avatar

Manger Accounts & Finance
363 Points Posted on 26 February 2020
Yes, afcause
1 Reply
On 26 February 2020 at 06:53
User Avatar

"Do the Right Thing...!!!"
128147 Points Posted on 26 February 2020
Yes... I agreed to above said reply...

@ Miss Mansi Bhojani.,

Yes... Director can give his personal assets as collateral to bank for taken Loan from bank by company...

Also any other parties can be given as the same...
463 Reply
On 26 February 2020 at 07:13
User Avatar

Practicing Chartered Accountant
1736 Points Posted on 26 February 2020
Thanks you to everyone for your reply.
11 Reply
On 26 February 2020 at 12:36
User Avatar

"Do the Right Thing...!!!"
128147 Points Posted on 26 February 2020
After a Long time I seen you in CCI...

Happy to Enjoy Your Profession...

GOD BLESS YOU...
463 Reply
On 26 February 2020 at 12:38
User Avatar

Practicing Chartered Accountant
1736 Points Posted on 26 February 2020
Yes sir. I try to give my contribution regularly but work disparity affects it due to the current scenario of due dates. Will try to give my contribution.
Thanks sir for your motivation and prompt response.
Also thanks a lot sir for your wishes.
11 Reply
On 26 February 2020 at 15:49
User Avatar

"Do the Right Thing...!!!"
128147 Points Posted on 26 February 2020
You are most welcome Dear...
463 Reply
On 26 February 2020 at 15:55
User Avatar

2 Points Posted on 16 December 2021

Can someone substantiate that security can be given with any provision or case law?

Reply
On 16 December 2021 at 12:35


CCI Pro

Leave a Reply

Post Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Recent Threads

More recent discussions | Post

Related Threads
Loading

Latest Job Openings

View all
Company
Featured 29 April 2026
Manager- Finance and Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
Featured 02 May 2026
Senior Executive

hitesh chandwani & co

Pune

B.Com

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details