Nature of payment to be decided in advance as part of the RML covenants, as under :
- Periodic payments (monthly/quarterly).
- Option once exercised for monthly or quarterly payments shall remain unchanged throughout the tenor of the loan and interchangeability cannot be permitted.
- One time Lump-sum payment,not more than 20 % of the eligible loan amount.
In case of periodic disbursement, the payments shall be made during the loan period of 15 years or till the death of the surviving borrower, whichever is earlier.