In India, the transfer of property by gift is governed by the Transfer of Property Act 1882 (“Act”). The gift of property involves transferring ownership of one’s property to another by signing a gift deed.
A gift deed is an act by which the owner of a building or furniture transfers his or her property to another person that is not considered a gift.
The person who gives his or her property is called the giver, and the recipient of the gift is the person giving it. The giver must voluntarily give the property to the recipient without deeming the gift valid under the Act.
A gift of movable property is effective upon registration of a deed of gift or by delivery of the property. Once the gift deed is registered, the transfer of property from the donor to the giftee takes place immediately and the parties do not need to go to court to do so.
Is registration of gift deed required when my brother transfers shares in the form of an assignment to me. If so, does it depend on the value? —TV Mahadevan
Signing up for a gift certificate in this case is not required. Only gift deeds containing real estate as a gift to a loved one or a third party need to be registered. I took out a car loan last year. Now I want a refund. Do I have to pay a fine? —Amit Deshpande
See the details in the loan agreement letter. If you’re in your second year, the sanction probably won’t apply in your case.
I forfeit a bunch of tax-exempt bonds as they mature this month. What is the procedure for the amount at maturity to be credited to my bank account? —B S Prabhakar
The good thing about securities in a Demat account is that you don’t have to worry about maturity or dividend/coupon payments. The amount will be credited directly to your linked account.
I have a home loan using LIC housing finance and have applied for the PMAY program and see that it is in step three. Do I have to give up this PMAY benefit after transferring the balance?
You will need to return the unused funding to LIC Housing Finance. In addition, the PMAY allowance can only be applied and used once.
I took out a home loan 15 years ago and paid it off. However, my registration is still in the bank. Can I borrow more? —Abhijit Bhaskar
Immediately receive the purchase and sale contract and the original documents from the financial institution after the mortgage has been fully returned. Hopefully, you will receive a no-fee certificate from your bank after the loan closes. Yes, you can take out an additional loan on the same property for renovation purposes.
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