How To Register Loan On Chanoot

[cheeryble]

I'm thinking of making a loan to someone to help a deal happen as I will not pay a deposit until some conditions are fulfilled which may take them some months. Perhaps 50,000 or 100,000 baht.

The person has at least two chanoots with no mortgages registered against them.

I presume if I make a simple witnessed agreement and they fail to repay I can sue easily if the need arises.

Is that so? And how do I go about doing it?

thanks

[maprao]

I would advise against getting involved in anything like that. But if you want advice contact sunbelt.

[jaapfries]

Since you're talking about a relatively small amount of dough; I would tackle this as follows: If the party you wish to lend to own a car, simply use that as collateral. If you want to know how to go about structuring that, just PM me.

Much quicker; much cleaner and totally transparent.

[katabeachbum]

Loan can be registerd in Chanote at land office. Fee is 1% of loan amount, registered at the back of Chanote land deed, and it is common lender keeps Chanote until it is payed back and loan deregistered. Accepted interest in loan agreement is as I recall 2,6% a month

but with the low amount mentioned, I would make an unregistered agreement including Chanote is held by lender

[cheeryble]

Thankyou all

This loan is to tide the seller over while we wait for about three months for some detail to be finalised for a land sale. I am not willing to pay a deposit until all documentation is ready to go.

I want the loan not only to be secure but to be obviously secure. It means if for instance another buyer came along and offered to buy the part of the land which doesn't require a wait they would not be able to sell without my knowledge as the loan must be cleared, at which time I could object legally to the sale as we would already have an agreement signed up.

Presumably this can't be done against a car, and in any case if I held the chanoot, although chanoots can be copied, to a village type person it probably means I hold strength.

The seller is getting a great deal here I am paying full asking price for most of the property.

I just don't want any messing around as seems to be ubiquitous here if things aren't done clearly.

So how does the loan thing work?

Does the registration on the back of the chanoot refer to a contract.....it wouldn't have fine details like payment date, interest (although I shall make it interest free) itself presumably

thanks

Edited June 11, 2011 by cheeryble

[katabeachbum]

Thankyou all

This loan is to tide the seller over while we wait for about three months for some detail to be finalised for a land sale. I am not willing to pay a deposit until all documentation is ready to go.

I want the loan not only to be secure but to be obviously secure. It means if for instance another buyer came along and offered to buy the part of the land which doesn't require a wait they would not be able to sell without my knowledge as the loan must be cleared, at which time I could object legally to the sale as we would already have an agreement signed up.

Presumably this can't be done against a car, and in any case if I held the chanoot, although chanoots can be copied, to a village type person it probably means I hold strength.

The seller is getting a great deal here I am paying full asking price for most of the property.

I just don't want any messing around as seems to be ubiquitous here if things aren't done clearly.

So how does the loan thing work?

Does the registration on the back of the chanoot refer to a contract.....it wouldn't have fine details like payment date, interest (although I shall make it interest free) itself presumably

thanks

We have simply used a form available at land office, and no problem to drop payment dates or interest

[cheeryble]

We have simply used a form available at land office, and no problem to drop payment dates or interest

Thankyou Kata

What do you mean by drop?

Things have really hotted up on this deal and the loan thing is pressing.

I discovered yesterday to my chagrin that the copies of the chanoot for the two neighbouring lots in question which showed it to be unencumbered must have been copied a year ago, because I learn she borrowed money against them and the chanoots are in the bank. I have reason to believe the first year may have just run out and the 220,000 borrowed needs 237,000 to pay off which sounds about right for a year.

At the same time to get the needed survey work done completely including splitting one of the lots one needs the original of the chanoot. This of course is in the bank and the bank would not allow that to happen without being paid off.

I have decided on a radical course.

With the agreement of the seller, I will take over the loan and a bit more for her expenses for 3 months, say 250,000 or so altogether. (The land price comes to best part of a million so even 300k safe)

I may give her 3 months interest free if the sale happens as hoped, for future goodwill.

It seems to me this helps me considerably.

1. She may likely feel I have dominant power and be less likely to find another buyer who doesn't demand an extra two lots I require which are causing a time delay of 3 months to process.

2. If anyone else did come into the picture she could never sell without my (the mortgagor's) knowledge......and within a week or two I should have a binding buy/sell contract to halt such a third party sale.

The worst that happens is I (presumably) don't lose my money, I get the problem of having to sue. I am willing to go the extra mile to get this lot, finding another would be just as much work........and hopefully we will both be very content.

Criticism gratefully accepted, but my real reason here is:

How does the chanoot get paid off and deregistered with the bank, and re-registered with me? Seems to me a bank official would have to go the land dept in question with the seller and I and do it all there, otherwise I am insecure at some time.

Anyone know about this?

Secondly....is a loan contract made separately and merely referred to by, say, date on the back of the chanoot next to the lender's name? Do I need my lawyer to do this or is it easy?

thanks a million

Edited June 15, 2011 by cheeryble

[thaiwanderer]

We have simply used a form available at land office, and no problem to drop payment dates or interest

Thankyou Kata

What do you mean by drop?

Things have really hotted up on this deal and the loan thing is pressing.

I discovered yesterday to my chagrin that the copies of the chanoot for the two neighbouring lots in question which showed it to be unencumbered must have been copied a year ago, because I learn she borrowed money against them and the chanoots are in the bank. I have reason to believe the first year may have just run out and the 220,000 borrowed needs 237,000 to pay off which sounds about right for a year.

At the same time to get the needed survey work done completely including splitting one of the lots one needs the original of the chanoot. This of course is in the bank and the bank would not allow that to happen without being paid off.

I have decided on a radical course.

With the agreement of the seller, I will take over the loan and a bit more for her expenses for 3 months, say 250,000 or so altogether. (The land price comes to best part of a million so even 300k safe)

I may give her 3 months interest free if the sale happens as hoped, for future goodwill.

It seems to me this helps me considerably.

1. She may likely feel I have dominant power and be less likely to find another buyer who doesn't demand an extra two lots I require which are causing a time delay of 3 months to process.

2. If anyone else did come into the picture she could never sell without my (the mortgagor's) knowledge......and within a week or two I should have a binding buy/sell contract to halt such a third party sale.

The worst that happens is I (presumably) don't lose my money, I get the problem of having to sue. I am willing to go the extra mile to get this lot, finding another would be just as much work........and hopefully we will both be very content.

Criticism gratefully accepted, but my real reason here is:

How does the chanoot get paid off and deregistered with the bank, and re-registered with me? Seems to me a bank official would have to go the land dept in question with the seller and I and do it all there, otherwise I am insecure at some time.

Anyone know about this?

Secondly....is a loan contract made separately and merely referred to by, say, date on the back of the chanoot next to the lender's name? Do I need my lawyer to do this or is it easy?

thanks a million

Hold on she's not been straight with you so tread even more carefully than normal.

Due dilligence should never be based on supplied copies of the title.

You say neighbouring plots - what DD have you carried out on the main plot?

[InterestedObserver]

Then there still is the problem of the Probate Court, the heirs for that piece of land have not been settled yet nor an administrator appointed. Now it turns out that all the relevant facts have not been forthcoming for the various pieces of land. This far into the deal and you haven't done a title search at the Land Office, despite having had a face-to-face meet with the boss. What has your lawyer been doing all this time? :whistling:

Edited June 16, 2011 by InterestedObserver

[cheeryble]

Hold on she's not been straight with you so tread even more carefully than normal.

I'm not so sure it even occurred to her.....

Due dilligence should never be based on supplied copies of the title.

I've certainly learned that one!

[cheeryble]

whoops

Edited June 16, 2011 by cheeryble

[cheeryble]

Then there still is the problem of the Probate Court, the heirs for that piece of land have not been settled yet nor an administrator appointed.

My lawyer seems confident that it is only necessary to have the admistrator settled to put encumbrances on the problem lot, and that that's unlikely to have a problem.

Now it turns out that all the relevant facts have not been forthcoming for the various pieces of land.

Once again this is a simple woman; it's perfectly possible she didn't even think about it, and to be fair it shouldn't matter to the final sale, only came up because it hindered the logistics. If you had a mortgage back home you wouldn't mention it when you were selling. She probably just dragged out her copies without thinking.

This far into the deal and you haven't done a title search at the Land Office, despite having had a face-to-face meet with the boss. What has your lawyer been doing all this time?

Yes this is a concern. I had dinner with a friend last night who has a lot of condo buy/selling experience and he said No No you always start with the title.

How it's been working is my GF and I have been trying to do the running around. It should have been mentioned that we should check out the Land Dept copies when we were there (BTW are they open to the public view showing someone's debts?). Maybe lawyer assumed the official would check it out and maybe he did, or maybe she didn't think about needing the owner's copy at this stage. She may have merely thought that we went and got fresh copies with the owner........but yes these things are an oversight.

Also slightly concerned that after four one-hour meetings I haven't at any stage been presented with anything about costs as a matter of course, and nothing on the website. I mentioned it last time and they are preparing a quote.

Hmmm....

Edited June 16, 2011 by cheeryble

[mccw]

Cheeryble , it seems from a couple of your topics u risk coming a cropper in Thailand in more ways than one.

Take a step back and reasses what's nessarcary for your life .

Just a friendly bit of advice.

[cheeryble]

Thanks for the advice mccw but this one seems to be working out.

I have indeed done it. I learned how to get a loan registered and it's registered for 100k more than my payoff to the bank, this giving me added security. The real loan as usual with banks, is way under the real value of the land, in this case well under half.

We did not use the lawyer for the loan agreement we used a 3 baht form available in the print shop near the land office. Registration was surprisingly expensive nearly 4000 on 400,000. Though that should be the seller's debt I will share it with her. I consider it well spent as she can not now sell elsewhere until administration of a small part of the land, already applied for, is cleared. She considers it well spent too as she's off the hook from foreclosure for 6 months and she's getting a very fair average price for her land.

As I say thanks anyway.

Edited July 4, 2011 by cheeryble