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Transfer of Property Act, 1882 · Chapter IV: Of Mortgages of Immoveable Property and Charges

Section 59: Mortgage when to be by assurance

In plain words

Where the loan secured is one hundred rupees or more, a mortgage, other than one by deposit of title deeds, can be made only by a registered instrument signed by the borrower and attested by at least two witnesses.

  • For less than one hundred rupees, a registered and attested instrument or, except for a simple mortgage, delivery of the property is enough.

A simplified explanation, prepared with AI assistance from the official text below and checked automatically against it for numbers and cross-references. The official text is the law and prevails over this summary. Not legal advice.

Official text

Where the principal money secured is one hundred rupees or upwards, a mortgage [other than a mortgage by deposit of title-deeds], can be effected only by a registered instrument signed by the mortgagor and attested by at least two witnesses.

Where the principal money secured is less than one hundred rupees, a mortgage may be effected either by [a registered instrument] signed and attested as aforesaid, or (except in the case of a simple mortgage) by delivery of the property.

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Source: India Code (indiacode.gov.in), the consolidated text published by the Legislative Department, Government of India. Text as updated on India Code on 15 October 2026. Words in square brackets [ ] were inserted or substituted by later amending Acts, and *** marks words omitted by an amendment. The amendment footnotes are not reproduced here. Official text on India Code.

Supreme Court judgments citing the section 59