Daily Quiz Question
An Authorised Dealer sanctions an INR loan to an NRI. The borrower requests that the loan proceeds be credited directly to his NRE account maintained with the same bank. Which is correct?
Permitted because the account is maintained with the same Authorised Dealer
Permitted if the loan is against adequate security
Permitted if the amount is subsequently utilised in India.
Not permitted; the loan amount cannot be remitted outside India or credited to the borrower's NRE/FCNR(B)/NRNR account