What is RECONVEYANCE DEED? How to register RECONVEYANCE DEED?

The RECONVEYANCE DEED refers to a document that transfers the title of a property to the borrower from the bank or mortgage holder once a mortgage is paid off

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Once the full and final settlement of dues is paid in respect of MEMORANDUM OF DEPOSIT OF TITLE DEED (MODT), the bank will issue following documents, stating that dues have been cleared and request to proceed Reconveyance deed

• No Objection Certificate (NOC)
• Reconveyance deed
• Title Deed

The NOC looks like the below image on bank’s letterhead:

RECONVEYANCE DEED looks like below image:

TITLE DEED is the list of documents that you handed over to bank at the time of MODT registration, Bank will hand back those documents. TITLE DEED includes your registered deed.

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The next step is to register Reconveyance Deed in sub-registrar office:

For your better understanding, let me give a real example that how I registered Reconveyance Deed of my property in sub-registrar office,

On 13th January 2016, we registered the MODT with State Bank of India (SBI) in Mahadevpura sub-registrar office (Bangalore).

In Encumbrance Certificate: column 5 shows the executor's name and Column 6 shows in whose favor the deed is executed.

In MODT registration, your name shows in column 5 and bank's name shows in buyer column 6. In the below Encumbrance Certificate, we encircled the bank’s name in Column 6

On 11th November 2020, we paid the full and final settlement of MODT dues, the settlement date has been encircled in below Reconveyance Deed issue by bank

On 6th July 2022, we collected the following documents from bank

• No Objection Certificate (NOC)
• Reconveyance deed
• Title deed

Following are the Government charges for Reconveyance Deed Registration (Subject to Karnataka)

• Stamp Duty: Rs. 200
• Registration fee: Rs. 200
• Scanning Rs. 300 (approx)

We paid the government charges through UPI. Below is the image of payment

Below is the image of Government charge payment receipt (K2 Challan)

On 6th July 2022, we took the following documents to K R Puram sub-registrar office for registering Reconveyance Deed.

• No Objection Certificate (NOC) issued by bank
• Reconveyance deed issued by bank
• Aadhar
• Government charge payment (K2 Challan)

In sub-registrar office, the office verified the above-listed documents and approved for registration. The registering officer asked the property owner to sit at the registration counter, the officer took the biometric thumb impression, photo from webcam, and OTP authenticated.

Below is the image of registered Reconveyance Deed:

We extracted the below Encumbrance Certificate (EC) after the Reconveyance deed registration.

In Encumbrance Certificate: column 5 shows the executor's name and Column 6 shows in whose favor the deed is executed.

In Reconveyance Deed registration, Bank name shows in column 5 and Your name shows in buyer column 6. It means that we removed mortgage lien from the registry and Reconveyance is registered.

In Below EC, we encircled the Bank name in Column 5

NOTE:

• The Reconveyance Deed is applicable if MODT is registered with bank. Few banks just collect the title documents and don’t do MODT registration. For such cases, just collect back the title documents from bank after clearing the MODT dues. Reconveyance deed is not applicable.
• The Reconveyance Deed should register in sub-registrar's office within 90 days from the day bank hand over the Reconveyance deed to you. Sub-registrar office doesn’t accept deed registration if the issuing date exceeds more than 90 days (If date exceeds more than 90 days, you can ask bank to issue another Reconveyance Deed with latest date)
• Register the Reconveyance Deed in the same sub-registrar office where the MODT was registered
• Property owner presence is mandatory in sub-registrar office for Reconveyance Deed Registration, presence of bank’s representative is not mandatory (Just the NOC from bank is sufficient)
• If you are not physically present to do Reconveyance Deed, you may give power of attorney(POA). Your POA holder can collect title documents from bank and do Reconveyance Deed registration on your behalf.
• K2 challan is valid for 7 days from the day of challan generation hence complete the payment within 7 days. You have options to pay by net banking, card, UPI, and cash.
• K2 challan is valid for 90 from the day of payment, hence complete the registration within 90 days from the day of challan payment
• Immediately after the Reconveyance Deed registration, extract the latest encumbrance certificate for cross verification, and make sure that bank name is removed from the registry.

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In Bangalore, we provide assistance to register the Reconveyance Deed. To opt for our service, please write to us pgnproperties@gmail.com or Whatsapp to +91-97424 79020.

Thank you for reading…