State Act
7
Section 7. MFIs not to seek security for loan.
The Andhra Pradesh Micro Finance Institutions (Regulation of Money Lending) Act, 2011
Act no. 1 of 20112011In forceAndhra Pradesh (State Act)
7. MFIs not to seek security for loan. - No MFI shall seek any security from a borrower by way of pawn, pledge or other security for the loan: Provided that any such security obtained from a borrower before the commencement of this Act shall forthwith stand released in favour of the borrower.