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RBI directs banks to sell seized properties within 7 years
short by Ishaan Mukherjee / on Sunday, 19 July, 2026
RBI has issued new guidelines on how banks and financial institutions should manage and dispose of properties acquired from loan defaults. The framework requires banks to dispose of acquired immovable properties within the timeframe set by their board-approved policy, with a maximum limit of seven years. Banks are encouraged to dispose of properties through public auctions to ensure fair value.
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