L&T Finance — Not foreclosing my loan account even after full payment

Address:

Bhopal, Madhya Pradesh

This is in regards to Loan Account Number : BOPHL15000152. I had made a payment of Rs 26, 723/- INR (Twenty Six Thousand Seven Hundred Twenty Three) by cheque, (cheque by Standard Chartered Bank, Issue by India Infoline Housing Finance Limited, Cheque Number : 108645), on 9th July 2015, for loan takeover/transfer from L&T Housing Finance to India Infoline. I have been informed by L&T Finance that the cheque has bounced, however they are not providing any reason or written documentation regarding the same. They are not returning the cheque as well. Due to this I have to end up paying interest to both L&T Finance, and India Infoline and I am not able to meet my other payment commitments. The personnel of India Infoline are stating that the loan account that I hold with them cannot be foreclosed until I return the bounced cheque, and that the cheque that they have provided is accurate and cannot bounce. I have put forward the same information to L&T Finance, however they are refusing to return the cheque, and stating that I should complete the due payment with cash instead. I have explained to L&T Finance countless number of times that I would make the payment by cash, but at least provide me a written confirmation/evidence of the bounced cheque, or else return the cheque to me so that I can claim the same from India Infoline, but I have been denied. They are holding my property papers as well and have refused to release the papers.