Section 71 in The Delhi Co-operative Societies Rules, 2007
71. Charging of penal interest.
(1). No co-operative society shall charge penal interest on default of loan at the rate not exceeding three percent per annum over and above the normal rate of interest as being charged by the co-operative society on loan and in-case of Financing bank and Apex cooperative society not exceeding two percent over and above the normal rate of interest being charged from the defaulting co-operative societies.(2)In case, the member or the co-operative society has cleared all the dues, the co-operative society or Financing bank or Apex co-operative society may waive the penal interest.
