Form CHG-4: Intimation of Satisfaction of Charge
CHG-4 reports that a registered charge has been repaid or satisfied, within 30 days of payment. Needed to clear the charge from MCA records.
Short answer
Form CHG-4 is filed to inform the Registrar that a registered charge has been paid off or satisfied in full. It is due within 30 days of payment or satisfaction under Section 82. The Registrar can allow later filing within 300 days on payment of additional fee. Until CHG-4 is filed and approved, the charge stays open on the MCA record, which can block later filings such as strike-off.
- Due date
- Within 30 days of satisfaction
- Filed by
- Company, signed by company and charge holder
- Fee
- ₹200 to ₹600 by nominal capital
- Late fee
- Additional fee for filing within 300 days
- Beyond 300 days
- Condonation from Central Government
- Law
- Sections 82 and 87, Companies Act 2013; Registration of Charges Rules
When to file CHG-4
When a company repays a secured loan in full, or the charge is otherwise satisfied, Section 82 requires the company to give intimation to the Registrar within 30 days. The lender issues a no-dues or satisfaction letter, and both company and charge holder sign CHG-4 digitally. The Registrar then issues a memorandum of satisfaction.
Company records should also be updated. The register of charges in Form CHG-7 must show the satisfaction, and original title deeds held by the bank should be collected along with the satisfaction letter.
CHG-4 is used only for full satisfaction. If the charge is partly released or its terms change, the change is a modification and goes in CHG-1, or CHG-9 for debentures.
Later filing and condonation
If the 30 days are missed, the Registrar may allow the intimation within 300 days of payment or satisfaction on payment of additional fee under the Fees Rules. Beyond 300 days, the company must apply to the Central Government for condonation of delay under Section 87 in Form CHG-8, and file CHG-4 after obtaining the order.
Section 82(4) also allows the Registrar to register satisfaction on information from the charge holder where the company does not file, after giving notice to the company. In practice, companies prefer to file themselves, since relying on the lender often means further delay.
Documents and signatures
The key document is the lender's letter confirming that the debt is fully repaid and the charge satisfied. Banks often take time to sign on the portal, so ask for both the letter and the bank's DSC signing at the time of closure.
- No-dues or satisfaction letter from the charge holder
- Charge ID of the charge being satisfied
- Date and amount of satisfaction
- Board resolution authorising the filing
Fees and penalties
The normal fee follows the nominal-capital slab of ₹200 to ₹600 under the Companies (Registration Offices and Fees) Rules, 2014. Additional fee applies for intimation within the 300-day window, increasing with the length of the delay, and the portal calculates it at the time of filing.
Section 86(1) penalties apply to contravention of the charge provisions, including Section 82: ₹5 lakh on the company and ₹50,000 on each officer in default. In practice the bigger cost is commercial. An open charge appears on the company's master data and can concern new lenders, buyers of the company, or investors in due diligence.
Why open charges cause problems
Applications to remove the company's name in STK-2 are not accepted while open charges are shown against the company. Charges that were repaid years ago but never satisfied on record are a common reason companies cannot close quickly. Due diligence for mergers and fundraising also flags them. Refogo's partner professionals can file CHG-4, including condonation where needed, for a fixed fee.
- Strike-off blocked until all charges are satisfied
- New lenders ask for explanations of open charges
- Investors' due diligence reports flag them as risks
Step by step
- 1Repay the loan
Close the account and settle all dues with the lender.
- 2Obtain satisfaction letter
Get the no-dues letter from the charge holder.
- 3Fill CHG-4
Select the charge ID and enter satisfaction details.
- 4Sign with both DSCs
Company and charge holder sign the form.
- 5Pay fee within 30 days
Pay the fee; additional fee applies up to 300 days.
- 6Receive memorandum
The Registrar records satisfaction and the charge shows as closed.
Related services
Sources
- Companies (Registration Offices and Fees) Rules, 2014: annexure of fees as amended (ca2013.com)
- Compliance Calendar: Form STK-2 conditions, attachments and C-PACE processing
Written by the Refogo Editorial Team from the official sources above and checked on 2026-10-31. Laws, rates and due dates change, and authorities often extend deadlines, so confirm your own case with a qualified professional. This is general information, not legal or tax advice. Read our editorial policy or report an error to support@refogo.com.
Common questions
What is the time limit for CHG-4?
Within 30 days of payment or satisfaction, extendable up to 300 days with additional fee.
What if more than 300 days have passed?
Apply for condonation to the Central Government in CHG-8, then file CHG-4.
Can the bank file satisfaction instead of the company?
Under Section 82(4), the Registrar can record satisfaction on the charge holder's information after notice to the company.
Can a company be struck off with an open charge?
No. Open charges must be satisfied before an STK-2 application is accepted.