Expert Answer
Question:
Will settlement close my loan account permanently?
Answer:
It should, but only if you have written proof of closure and No-Dues showing a zero balance. Some lenders keep the account open internally and make new demands later if they don't have proof of closure. Make sure the words "full and final" and "no further claim" are in there. Legals365 and Advocate BK Singh write finality clauses and make sure that closure rules are followed.
By Advocate BK Singh
Supreme Court | High Court | Tribunals
