Section 20 in Andhra Pradesh Micro Finance Institutions (Regulation of Money Lending) Rules, 2011
20. Manner, Form and Format of the loan.
(1)The loan contracted between a borrower and the Micro Finance Institution shall be repayable in the manner as laid down below:(a)The repayment of the loan shall be on a periodicity which shall not be less than one month.(b)The interest shall be calculated on diminishing balances.(c)The equated instalment's calculated in the above manner shall be intimated along with all other terms and conditions of the loan and shall be duly acknowledged by the borrower.(2)The letter sanctioning the loan shall be in Form 9.
