Vinu: Good morning, Manu sir! I hope I'm not disturbing you.

Manu: Good morning, Vinu! Not at all, what can I help you with today?

Vinu: I’ve been trying to understand the Title Investigation Report (TIR) given by empanelled advocates. Can you explain what exactly a TIR is and its importance?

Manu: Of course, Vinu. A Title Investigation Report is a document prepared by our empanelled advocates to ensure that the property title is clear and marketable. It’s crucial for us, especially when we are offering loans against property, to ensure that the property is free from legal encumbrances and disputes.

Vinu: I see. What kind of information is typically included in a TIR?

Manu: A TIR generally includes several key elements. Firstly, it provides a detailed description of the property, including its location and dimensions. It also lists the chain of title, which is the history of ownership, ensuring that each transfer of the property was legal and valid. Additionally, it checks for any encumbrances, such as mortgages, easements, or liens against the property. Lastly, it confirms that the current owner has a clear and marketable title to the property.

Vinu: That makes sense. How do the advocates verify this information?

Manu: Advocates conduct a thorough search of public records at the Sub-Registrar’s Office and other relevant authorities. They examine past deeds, wills, court judgments, and other documents to trace the history of the property. They also check for any pending litigation or unpaid taxes that could affect the title.

Vinu: What happens if the advocate finds an issue with the title?

Manu: If any issues are found, the advocate will highlight them in the report. Depending on the nature of the issue, it could either be resolved, such as settling unpaid taxes, or it might be a more serious problem that could make the property unsuitable for a loan. In such cases, we would either need additional security or might even have to reject the loan application.

Vinu: Can you give me an example of a serious issue that could be found during the title investigation?

Manu: Sure. Let’s say the advocate discovers that there is an ongoing legal dispute over the property’s ownership. This is a red flag because the outcome of the case could potentially change the ownership of the property. Another example could be if the property was inherited and one of the heirs did not consent to the sale. This could lead to future claims on the property.

Vinu: Got it. How long does it typically take to get a TIR done?

Manu: The duration can vary, but it usually takes about 2 to 3 weeks. However, it might take longer if there are complications or if the records are not readily accessible.

Vinu: Once we receive the TIR, what are the next steps?

Manu: Once we receive the TIR, we review it thoroughly. If the report is clear, we proceed with the loan processing. If there are any issues noted, we discuss them with the advocate and the borrower to see if they can be resolved. Sometimes, additional documentation or assurances may be required from the borrower.

Vinu: This is very insightful, Manu sir. Is there any particular format or structure we follow for the TIR?

Manu: Yes, most banks follow a standard format which includes sections like property details, ownership history, legal compliance, and encumbrance status. This ensures consistency and helps in easier review and comparison.

Vinu: Thank you so much for explaining all this, Manu sir. It’s a lot clearer now. I’ll make sure to keep these points in mind while handling TIRs.

Manu: You’re welcome, Vinu. Understanding TIRs is crucial for our risk assessment process. Feel free to ask any more questions as you go along.

Vinu: Will do, sir. Thanks again!

Manu: Anytime, Vinu. Keep learning and all the best with your training!