Door to Door tenor / maturity
"Door to Door tenor" is a term that is mostly used in finance sector.
It is generally used to indicate the total period within which the total debt borrowed is to be paid, this total period also includes the period of moratorium (that is the period for which payment has been postponed).
Let us understand this term through an example:
Suppose a financial institution allows a debt to an organisation for Rs. 10 crores, wherein the entire debt is payable in 12 quarterly instalments, but with a initial moratorium of 5 months. Then the door-to-door tenor in this case will be 3 years and 5 months (i.e. 12 quarters + 5 months).
Bankers generally use this term in term loan sanction documents.
Labels: Finance Terms