Bank property auctions in India typically follow the SARFAESI Act process. When a borrower defaults on a loan secured against property, the bank can seize and auction the asset to recover dues.
The process usually starts with a public notice specifying the reserve price, EMD (Earnest Money Deposit) amount, and auction date. Interested bidders must submit the EMD before the deadline to be eligible to participate.
On the auction date, bidding happens either online or in a physical hall, with the highest bid above the reserve price winning the property — subject to verification and clearance of any existing liabilities.