I purchased a vehicle unit to a certain Mr. X way back 2015 and paid the full amount of the auto loan niya sa mismong bank. Unfortunately until today, hindi parin nirerelease yung ORCR niya or at least a certification specifying na Paid Off na yung Auto Loan na yun or yung Promissory Note. by the way, may deed of absoulte sale and SPA to transact and retrieve documents pertaining to that Loan.
Reason of the bank of why hindi nirerelease ung ORCR dahil daw “Cross Default”.
Mr X, had 3 Loans with the same bank, 1 Real Estate Loan and 2 Auto Loans. the Real Estate loan as far as i know os already foreclosed, and during the redemption period, Mr X filed a petition to hold the property kaya nagkaroon ng delay daw and that Me X is not coordinating with the bank already.
In addition, the 2 Auto Loans were already paid in full. sa tatlong loans ni Me. X, as per checking, ang unang na fully paid is ung unit na i purchased.
I made several letters and follows up with the bank for update and if pede na irelease na ung ORCR pero same result parn na sinasabi hindi pede due to that Cross Default thing. mag ttalong taon na sakin ung sasakyan.
Question po:
1. is this legal to hold ng bank ung ORCR due to the cross default provision kahit fully paid na? hostage ung document?
2. What are the possible remedies para marelease na yung ORCR? should i file a case? and what are the chances?
3. am i in the right position to demand or file a case? may deed of absolute sale naman and SPA to transact, retrieve and act on Me.X’s behalf
Thank you so much in advance.