Request the bank to lift lien on account after loan is rejected

My spouse and I used our NRE joint account with the Union Bank of India to apply for a housing scheme in Noida. Accordingly, an amount of Rs80,000 and an interest of Rs21,800 was debited from our account for each application form. The bank financed Rs720,000 for each application. Our names did not appear in the draw announced on January 15. Meanwhile, I tried transferring my money from my Union Bank account to Jaypee Infratech, but the transfer did not happen. When I asked the bank, the branch manager said our account had been marked as lien account because they were not getting the funds back from the Noida authorities as two applications had been sent from the same family. The bank knew that both applications were from husband and wife and accordingly the amount had been debited from our joint account. Please advise me on how I can get my money from my lien account. — Asfaque Alam
If your application has been rejected, then the Noida authorities have to give instructions to the bank to delete the lien noted in the account. Please go through the terms and conditions stated in your application form, particularly the para dealing with refund in case of non allotment. This will give you a clear idea. You need to bring the relevant para to the attention of the Noida authorities as well as to your banker.

The writer is chief counsellor, Abhay Credit Counselling, a trust sponsored by Bank of India. He will answer credit card and loan queries and can be reached at dnadebtqueries@gmail.com