Fair Practice Code

• Have Escalation process, in the event of dissatisfaction of the borrower in handling his complaint(s);

APPLICABILITY OF FAIR PRACTICE CODE

The FPC will be applicable to the following broad areas:

• Loan applications and processing thereof
• Loan appraisal and terms/conditions
• Disbursement of loans including changes, if any, in terms and condition.
• Post disbursement supervision/monitoring
• Other general provisions

Loan application cum agreement form and processing thereof

• Loan Application Forms may be made available to the prospective borrowers on request.
• Loan application will, inter alia, include the broad features and the terms and conditions governing the loan. This would enable the borrowers to take an informed decision by comparing and analyzing the terms offered by the Company with other lenders in the market. The said Form shall also specify the documents required to be submitted by the borrowers.
• All communication with the borrowers shall in the language understood and confirmed by borrowers.

Loan appraisal and terms/conditions

• The Company shall consider all the loan applications keeping in mind the risk based assessment procedures adopted by it.
• The Company, before sanctioning the loan, would assess the ability of the borrowers to repay the loan.
• Loan application cum agreement form shall be made available to the borrower at the time of loan application. The borrowers shall give their acknowledgement in writing in token of their acceptance of terms and conditions governing the loan. The Loan application cum agreement form shall contain the broad terms and conditions governing the loan including the annualized rate of interest and method of application thereof.
• A copy of the loan documents including loan agreement and annexure thereof shall be made available to the borrower.

Disbursement of loans including changes in terms and conditions

• Disbursement of amount of loans sanctioned may be made available to the borrowers on demand subject to completion of all formalities including execution of loan documents.

• Change in the interest rates and service charges shall be made applicable prospectively. The loan agreement shall contain a specific clause in this regard.

Post Disbursement Supervision

• The decision, if any, of the Company to recall/accelerate payment or performance of loan shall be in accordance with the terms and conditions of the Loan Agreement.
• The Company shall give reasonable time to the borrowers before recall the loan or asking for accelerating the payment or performance subject to the terms and conditions contained in the Loan Agreement and other related documents.

Other General Provisions

• The Company shall refrain from interfering in the affairs of the borrowers except as provided in the terms and conditions governing the loan as contained in the loan documents (unless new information, not earlier disclosed by the borrower, has come to its notice).

• The Company shall generally convey its consent within a reasonable period of time to all requests from the borrower to transfer the loan account of a particular borrower to other NBFC, bank or financial institution. Such transfer shall be in accordance with the contractual terms entered into with the borrower and in accordance with the statutes, rules, regulations and guidelines as may be applicable from time to time.
• The Company shall not discriminate on the grounds of gender, caste or religion in its lending policy and activities.
• In the case of recovery of loans, the Company shall resort to the usual measures, which are legally and legitimately available to it and as per laid down guidelines and extent provisions and shall operate within the legal framework.

• The Company shall provide the terms and conditions in respect of its lending activities or services whenever the borrower requests for the same.
• On request from borrower for closure of his loan account, the request will be executed within 21 days from receipt thereof request subject to clearance of pending dues and completion of all the formalities as prescribed by the Company. In case the request cannot be executed in the time frame stated above due to any reason, the same may be communicated to the borrower.

CONFIDENTIALITY

• Unless authorized by the borrower, the Company will treat all his personal information as private and confidential.
• The Company may not reveal transaction details of the borrowers to any other persons except under following circumstances:
• If the Company is required to provide the information to any statutory or regulatory body or bodies;
• If arising out of a duty to the public to reveal the information;
• If it is in the interest of the borrowers to provide such information (e.g. fraud prevention);
• If the borrower has authorized the Company to provide such information to its group / associate /entities or companies or any such person/ entity as specifically agreed upon;