| Question And Answer | |
|---|---|
| Subject: | Issue with my flat registration |
| Category: | Allied Law |
| Querist: | YUVARAJ N C |
| Answered by: | Law Intern |
| Tags: | Interest, penalty |
| Date: | March 11, 2026 |
Dear Team,
I am not able to register my flat as builder is holding and asking me to pay the penalty interest for the late payment & holder charges before the registration. The reason for my delay payment was the demand letter from builder has not shared with me for last 2 milestones. Hence, my funding bank was not ready to disburse the amount without the proper demand letter from the builder. I was keep working with CRM for long time but he called me for face to face meeting and proposed a solution verbally & I agreed. He still not able to confirm officially since he is looking for approval from his management. When even I call him, he says the same but nothing moving further toward my flat registration.
I am seeking your advice/recommendation on this matter asap.
You should document everything including the verbal proposal by the CRM. Send an email detailing all the facts. Thereafter, you should write a formal letter explaining how you are not at fault for the delay and how the delay is attributable to the builder and so the penal interest is not payable by you.
You can also file a complaint with RERA and also the Consumer Disputes Forum (it does not cost much).
Usually, the builder will not be willing to take the hassle and will waive the penal interest.