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Banks to not grant loan to builders who fail to register under RERA

The Banks which are in consultation with the RBI, have reportedly decided not to extend loans to those building projects, which haven't been registered under the Real Estate (Regulation and Development) Act, 2016. The decision reportedly aims to eliminate unreliable builders. Further reports revealed that the banks have even suggested keeping personal properties of promoters of some real estate firms as additional collateral.

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