Foreclosure Communication

This has reference to the RBI circular of August 02, 2019 on ‘Levy of foreclosure charges/pre-payment penalty on floating rate term loans’, mandating that NIL foreclosure or pre-payment charges will be levied on floating rate term loans sanctioned to Individual borrowers with/without co-borrower(s) for the purposes other than for business.

Accordingly, this is to inform you that, notwithstanding anything contained in the Transaction Documents, for Individual borrowers who has availed loan for business purpose and for Non-Individual borrowers, foreclosure charges will be applicable as per the rates prescribed by the Bank from time to time. The current applicable rates of prepayment charges are provided below for your ready reference.