shall be adjusted downward to reflect the following schedule, based on lending by the institution relative to the baseline period: (I) If the institution in the most recent annual period prior to the investment provides significant lending or investment activity in low- or moderate-income minority communities, historically disadvantaged borrowers, and to minorities that have significant unmet capital or financial services, the annual payment rate shall not exceed 0.5 percent per annum. (II) If the amount of lending within minority, rural, and urban low-income and underserved communities and to low- and moderate-income borrowers has increased dollar for dollar based on the amount of the capital investment, the annual payment rate shall not exceed 1 percent per annum. (III) If the amount of lending within minority, rural, and urban low-income and underserved communities and to low- and moderate-income borrowers has increased by twice the amount of the capital investment, the annual payment rate shall not exceed 0.5 percent per annum. (B) Contingency of payments based on certain financial criteria (i) Deferral Any annual payments under this subsection shall be deferred in any quarter or payment period if any of the following is true: (I) The low- and moderate-income community institution fails to meet the Tier 1 capital ratio or similar ratio as determined by the Secretary. (II) The low- and moderate-income community financial institution fails to achieve positive net income for the quarter or payment period. (III) The low- and moderate-income community financial institution determines that the payment would be detrimental to the financial health of the institution. (ii) Testing during next payment period Any deferred annual payment under this subsection shall be tested against the metrics described in clause (i) at the beginning of the next payment period, and such payments shall continue to be deferred until the metrics described in that clause are no longer applicable. (6) Restrictions (A) In general Each low-