Common use of Penal Interest Clause in Contracts

Penal Interest. Any delay or default in the payment of the Monthly Installments or any other amount on the respective Due Date(s) to the Lender, shall render the Borrower/s, liable to pay the Penal Interest along with other charges, on all such overdue / unpaid amounts from the relevant Due Date, till the date of actual payment of such unpaid amount. The Penal Interest shall be in addition to the applicable Interest and any other charges which the Borrower/s are liable to pay to the Lender, in terms of this Agreement and the Transaction Documents. The Borrower/s agree, acknowledge and confirm that the rate of the Penal Interest is reasonable and represents a genuine pre-estimate of the loss expected to be incurred by the Lender in the event of non-payment of any monies by the Borrower/s.

Penal Interest. Any delay or default in the payment of the Monthly Installments InstallmentPEMII or the EMIs or any other amount on the respective Due Date(s) to the Lender, shall render the Borrower/s, liable to pay the Penal Interest along with other charges, on all such overdue / unpaid amounts from the relevant Due Date, till the date of actual payment of such unpaid amount. The Penal Interest shall be in addition to the applicable Interest and any other charges which the Borrower/s are liable to pay to the Lender, in terms of this Agreement and the Transaction Documents. The Borrower/s agree, acknowledge and confirm that the rate of the Penal Interest is reasonable and represents a genuine pre-estimate of the loss expected to be incurred by the Lender in the event of non-payment of any monies by the Borrower/s.