New Delhi, April 14 -- When an individual who has a loan on him passes away with an outstanding amount, it raises several critical questions about the repayment of such debt along with the future course of responsibility for clearing the pending amount.

That is why understanding the financial and legal consequences about debt repayment post the demise of an individual is crucial for the deceased's family and relatives. It can help them in gaining knowledge and dealing with the challenges thrown at them by the concerned authorities in such a situation in an efficient manner.

It has been observed that in India, personal loans are mostly unsecured i.e., they are not backed by any form of collateral. That is why if a personal loan borrower ...