Fair Practices Code

1Objectives

The Fair Practices Code has been formulated to promote good and fair practices in dealing with customers, ensure transparency so that customers can have a better understanding of what they can reasonably expect from our services, and foster fair and cordial relationships between customers and the Company.

• To set standards for fair and transparent dealings with customers across all products and services.
• To ensure compliance with applicable laws and regulatory guidelines issued by the Reserve Bank of India.
• To build customer confidence through honest, ethical, and respectful conduct at every touchpoint.

2Loan Applications and Processing

All communications to customers will be in a language understood by them. Loan application forms will include necessary information that affects the interest of the borrower, allowing meaningful comparison with terms offered by other NBFCs.

• Application forms clearly indicate the documents required to be submitted along with the application.
• An acknowledgement is issued for receipt of all loan applications, indicating the expected timeframe for disposal.
• All particulars required for processing the loan application are collected at the time of application, without unnecessary delays caused by multiple follow-up document requests.

3Loan Appraisal and Terms & Conditions

Each loan application is assessed on its own merit. We convey in writing the amount of loan sanctioned along with the terms and conditions, including the annualised rate of interest and method of application, by accepting a written acknowledgement of such acceptance from the borrower.

4Disbursement of Loans, including Changes in Terms

Any change in the terms and conditions, including disbursement schedule, interest rates, service charges, prepayment charges, etc., is notified to the borrower in the agreed language through appropriate means, and changes in interest rates and charges are effected only prospectively.

• Decisions to recall or accelerate payment, or seek additional securities, are taken in consonance with the loan agreement.
• All securities pledged are released upon repayment of all dues, subject to any legitimate right of set-off the Company may have.

5General Conduct & Post-Disbursement Supervision

We do not interfere in the affairs of the borrower except for the purposes provided in the loan agreement, unless new information not earlier disclosed by the borrower comes to our notice.

• Requests for transfer of the borrower's account are responded to within 21 days of receipt of such request, with consent or objection conveyed accordingly.
• In the matter of recovery of loans, we do not resort to undue harassment, such as persistently bothering borrowers at odd hours or using muscle power.
• All staff are trained to deal with customers in an appropriate, courteous, and professional manner.

6Loan Recovery Practices

Recovery of dues is carried out through legitimate means only. Our recovery staff and any authorised recovery agents are required to adhere strictly to the following principles:

1. Customers are contacted ordinarily at their place of residence or, if unavailable there, at their place of business or occupation.
2. Identity and authority to represent the Company is made known to the borrower at the first instance of contact.
3. Privacy of the borrower's information is respected, and interactions take place with due regard to dignity.
4. Borrower's requests to avoid calls at a specific time or place are honoured to the extent feasible.
5. Contact with borrowers is generally made between 0700 hrs and 1900 hrs unless special circumstances warrant otherwise.
6. Inappropriate occasions such as bereavement in the family or other calamitous circumstances are avoided for follow-up.

7Interest Rate Policy

Our Board has adopted an interest rate model that takes into account relevant factors such as cost of funds, margin, and risk premium, to determine the rate of interest charged on loans and advances.

• The rate of interest and the approach for gradation of risk are made available on our website and communicated to borrowers at the time of sanction.
• The rates of interest and the rationale for the same are disclosed to the borrower or customer in the application form and communicated explicitly in the sanction letter.
• Interest rates remain annualised so the borrower is aware of the exact rates that would be charged to the account.

8Grievance Redressal Mechanism

A Grievance Redressal Officer has been designated to handle complaints and grievances received from customers. Details of the escalation matrix are displayed at all branches and on our website for customer awareness.

9General Provisions

This Code applies to all categories of products and services, whether availed of across the counter, over phone, by post, through interactive electronic devices, on the internet, or by any other method.