The release of loan money by the lender, usually straight to the seller or builder. A ready flat gets one disbursement; an under-construction flat gets several, by stage.
How it works and what to check
For an under-construction flat, the bank pays each instalment against the builder's demand letter and the stage of work. Interest runs only on the amount disbursed, which is what pre-EMI is.
Check that each demand matches real progress on site before you ask the bank to release it.
Common questions
When does my EMI start?
Full EMI starts after the final disbursement, or earlier if you choose. Before that you pay pre-EMI.