After a troubled period in the bank loan sectors, now the Nation Legal Service authority has decided to set up Lok Adalat in different districts of India. The aim of these legal services providing association is to help the banks in the recovery of loan payments and the dishonour of the cheque payment issues.
This court has set up by following the directives of the Legal Service Authorities Act of 1987.Now they will find out various loan related payments and sanctioning disputes of the bank. The Chief Legal advisor M.R.Umarji mentioned that through this forum the borrower and lender will exchange their loan amount of the small loans up to 20lakhs.
There are different types of problems and complications arise after the payment of loans to an individual or a group, so the legal Advisory committee has decided to monitor the loan receiving process by submitting the authentic documents to the Legal office to avoid any future complications.