Disbursement of loans including changes in terms and conditions:
(a) The Company would ensure timely disbursement of loans sanctioned in
conformity with the terms and conditions governing such sanction. The
Company shall give notice to the borrower in the vernacular language as
understood by the borrower of any change in the terms, including
disbursement schedule, interest rates, service charges, prepayment charges
(b) The Company shall ensure that changes in interest rates and charges are
effected only prospectively. A suitable condition in this regard should be
incorporated in the loan agreement.
(c) Decision to recall / accelerate payment or performance under the agreement
should be in consonance with the loan agreement.
(d) The Company shall release all securities on repayment of all dues or on
realisation of the outstanding amount of loan subject to any legitimate right
or lien for any other claim the Company may have against borrower. If such
right of set off is to be exercised, the borrower shall be given notice about the
same with full particulars about the remaining claims and the conditions
under which the Company is entitled to retain the securities till the relevant
claim is settled/paid.