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foreclose/prepay his loan before the contracted tenure
of the loan.
iv. Prepayment/Foreclosure charges (as may be
applicable) are levied ... loan outstanding amount
at the time of the prepayment/foreclosure.
v. Levy of such prepayment/foreclosure charges is a
prevailing market practice adopted by most
prepayment charges were levied in accordance
with clause 2.8 of the Loan agreement and
also as per schedule of the charges.
The prepayment were levied ... term, prepayment is to be charged irrespective
whether it is a case of transfer or takeover. The prepayment charges would be levied in
terms
foreclosure charges was illegal. He further
submitted that, the District Forum, after considering the true interpretation
of the words foreclosure charges and prepayment charges, came ... prepayment, and, on all
amounts tendered by the borrower, towards prepayment of loan, during the last
one year, from the date of final prepayment
that no such amount
was recoverable from the complainant, as the prepayment charges
and the opposite party by recovering those charges were deficient in
First ... Borrower shall, at the time of such prepayment,
not be liable to pay any prepayment charges if
the loan has been repaid from
charges as Rs.1,200/-,
interest till date of prepayment as Rs.2,824/-, prepayment charges
as Rs.41,250/- calculated at the rate ... Borrower shall,
at the time of such prepayment, not be liable to pay
any prepayment charges if the loan has been
repaid from
Bhilai and
that the complainant paid prepayment charges and processing charges without
making any grievance and prepayment charges are recovered ... borrower is entitled to
prepay the loan as per the rules of HDFC, relating to the prepayment
charges. However, no such rules are
referred
District
Forum file, it was in clear-cut terms, mentioned that prepayment charges would
be 4%, of the outstanding on full prepayment. He further submitted ... loan agreement Annexure-3,
there was no mention of prepayment charges. There was a specific mention, in
this document, with regard to prepayment charges
prepay the loan
amount, outstanding before the expiry of the normal duration thereof. He
further submitted that, accordingly, the Opposite Parties, charged the
prepayment charges ... prepayment charges
and foreclosure charges are interchangeable, and one and the same thing. Mere change of nomenclature,
does not make any difference. Prepayment of loan
enter the market.
• Prepayment decisions are not influenced by the Prepayment penalties.
• Prepayment penalty is welfare inducing and benefits consumers
• Prepayment by the borrower generates ... charging the PPC is to mitigate loss caused by such
prepayment and ALM.
• Prepayment charges are nominal, does not discourage competition and
22
shifting
Appellants have vehemently submitted that the
commitment charges are in nature of interest charges or
the damage charges made by them from their customer/
client ... loss to the lender because of prepayment are
taken into account. Admittedly, the prepayment charges
vary from borrower to borrower, according to the appellant
themselves
