A Bengaluru-based chartered accountant has shared the story of her neighbour, who lost his home after missing just three EMI payments. CA Meenal Goel claimed that her neighbour Rajesh lost his flat worth ₹1.20 crore after missing three EMI payments — the property was repossessed by the bank and auctioned off for just ₹95 lakh. The unfortunate story, she said, serves as a cautionary tale about the importance of financial planning and having an emergency fund.
3 missed EMIs
In a post shared on LinkedIn, Bengaluru-based CA Meenal Goel claimed that her neighbour Rajesh was laid off in October 2025. By January 2026, he had missed three EMI payments.
“The bank sent him a notice under something called the SARFAESI Act… Within 60 days, they auctioned his flat,” she revealed. “He bought it for ₹1.2 crore. They sold it for ₹95 lakhs.”
After eight years of EMI payments, Rajesh got just ₹15 lakh back. The remaining ₹80 lakh went to the bank.
One layoff destroys 8 years of work
{{/usCountry}}After eight years of EMI payments, Rajesh got just ₹15 lakh back. The remaining ₹80 lakh went to the bank.
One layoff destroys 8 years of work
{{/usCountry}}“The bank recovered their ₹80 lakh outstanding. Rajesh got ₹15 lakhs back after 8 years of payments,” said Goel.
She added that the incident made her realise that one does not really own a home until the loan is fully paid off. Until then, it is merely a place that one rents from the bank.
“Rajesh did everything right. Good job. Good salary. Good area. But one layoff destroyed 8 years of payments,” said Goel. She then advised homebuyers to maintain sufficient funds for an emergency and, in similar situations, come clean with the bank and try to get the loan restructured.
‘Maintain emergency funds’
The post was shared on LinkedIn two weeks ago, but the story has come under the spotlight again after a user posted about it on the social media platform X.
Writing about the incident, X user Amit Arora said, “This unfortunate incident serves as a stark reminder of the significance of maintaining emergency funds, the potential risks associated with job loss, and the immense pressure that home loans can exert during periods of unemployment.”
Many people, however, raised doubts about the authenticity of the post.
“There are multiple loop holes in this example. First of all, hard to believe than an 8 yr apartment in Bengaluru selling for less than the original price. Sarfaesi act is real and there is a whole website for such auction properties but take better examples please. It’s very normal for banks to give a 3 month extension & not enforce the act immediately after 90 day default,” wrote one X user.
“This is wrong info. Auction can never happen after 60 days. Had you written 6 months, I would have believed it. Why spreading fake info here,” another said.
(Disclaimer: This report is based on user-generated content from social media. HT.com has not independently verified the claims and does not endorse them.)