(1) The Fund shall, while  providing loan or grant to the body related with town development, make  agreement in writing by putting terms and conditions as per necessity for
the protection of it’s interest and for proper use of the loan or grant provided by it to the debtor.
(2) While making agreement pursuant to Sub-section (1), the Fund may specify any pay back date, prescribe conditions to pay back the principal and interest of the loan taken by the debtor and to recover it from
the property accepted as security, mortgage, other property and from the guarantor in case the terms and conditions fixed by the Fund are violated.
(3) While providing loan to a debtor, the Fund may prescribe terms and conditions to provide loan gradually in installments as prescribed in the form of cash, cheque or letter of commitment by causing to execute
document for the entire loan by calculating interest from the date when the debtor receives an installment of total loan.