Common use of Revision in Interest Rate Clause in Contracts

Revision in Interest Rate. The Bank, may, in its sole discretion (or having regard to the applicable regulations, conditions in money market or in keeping with its internal policies or regulatory requirements, including any directives, circulars or notifications issued by Reserve Bank of India from time to time), revise the Interest Rate and Default Interest Rate on the Loan after notifying the Borrower and Interest Rate and Default Interest Rate shall, from the date of such revision, accrue at such revised rate. If the Bank revises the Interest Rate on the Loan prior to the full disbursement of the Loan, it shall have a right to effect, at it's sole discretion, such revised rate on the entire or any part of the Loan and the Borrower will be liable to pay such revised amounts. In case of Floating Rate, if there is change in interest rates the Bank may, at its sole discretion: (i) change the tenor of the Loan and EMI would remain constant or (ii) EMI amount would change and tenor would remain unchanged. In such event, National Automated Clearing House (NACH), Electronic Clearing Settlement instructions (“ECS”)/ Standing Instructions (“SI”), if any, would be returned to the Borrower and the Borrower shall submit new/ fresh NACH, ECS/ SI to the Bank.