Request Letter to Bank Manager for Car Loan NOC (Sample)

A No Objection Certificate (NOC) can be obtained from the lender of the loan after the borrower completes payment of all due installments.

Generally, the lenders viz. banks and financial institutions are supposed to dispatch the NOC to the loan account holder after the loan account is closed. There may be delays in receiving the NOC either because of the fault of the lender or because of a change in address of the customer, which is not updated on records.

A No Objection Certificate (NOC) is considered as a legal document. It is otherwise known as a “No Dues Certificate” or “Loan Clearance Certificate”. It certifies that the customer has no outstanding dues towards the lender for the concerned loan account.

Hereunder are two formats of application letters to the bank for issue of an NOC for loan closure.

TEMPLATE #1

(Application for issue of NOC for Loan closure)

Date: ________

From

(Name of the Loan Account-holder)

(Registered Address)

(Contact Number)

To

The Branch Manager

(Name of the Bank)

(Name of the Branch)

Sub.: Application for issue of no-objection certificate (NOC)

Dear Sir/Madam,

I had obtained a loan from your bank in order to finance the purchase of my car (Brand: _______, Model: _________). The loan account number is ___________ for the car loan. The loan was approved in my name i.e. ___________.

The last installment for the said loan was due on (Date). I have already paid the required amount in time by the due date. Thereby, the total amount due to be paid by me to your bank for this car loan has been all paid up.

You are hereby requested to issue an NOC or a loan clearance certificate in respect of the vehicle financed under a loan agreement. The same can be forwarded to my registered address.

Kindly do the needful and oblige.

Thanking you,

Yours faithfully,

    (Signature)

(Name of the Loan Account-holder)

TEMPLATE #2

(Application for issue of NOC for other purposes)

Date: _______

From

(Name of the Loan Account-holder)

(Present Address)

(Contact Number)

(Email Id)

To

The Branch Manager

(Name of the Bank)

(Name of the Branch)

Sub.: Application for issue of NOC for my vehicle loan.

Dear Sir/Madam,

You are requested to issue an NOC in respect of the vehicle financed under the loan account number _____ in the name of ______________.

Details of the vehicle are as follows:

Make & Model __________

Registration No. _________

Engine No. _____________

Chassis No. _____________

Purpose of NOC (please tick as applicable):

1. Issue of cheque towards settlement of insurance claim in my/our favour.

2. Change of usage from Personal use to Taxi / Commercial use.

3. Settlement of claim in respect of theft/total loss of vehicle.

4. Converting the vehicle from Tanker to Open Body.

5. Inter-state transfer of registration of the Vehicle.

6. Change of the chassis of the Vehicle.

7. Installation of the LPG /CNG Kit.

8. Issue of the Duplicate RC Book.

9. Others, please specify: ___________.

The following documents are enclosed herewith: (strike out the ones not applicable in your case)

⋅ Copy of RC book with Hypothecation in favour of Bank

⋅ Letter from manufacturer / dealer / Insurance company

⋅ Claim settlement letter from the insurance company

⋅ Copies of all documents related to theft / total loss

⋅ New Loan agreement and Service charges

⋅ Proof of new address

⋅ Form 28 in triplicate

⋅ Form-26 in duplicate

Kindly do the needful and forward the NOC to my current address as mentioned hereinabove.

Thanking you,

Yours faithfully,

    (Signature)

(Name of the Loan Account-holder)

Encl.: As above