APARAMPAAR Finance Fair Practice Code ND 2021

FAIR PRACTICE CODE
Introduction
APARAMPAAR FINANCE Private Limited (“Company”), has RBI license for a non-deposit taking
NBFC registered with RBI with registration number N-02.00333. This Fair Practice Code
(“Code”) has been prepared taking in to account the “Guidelines on Fair Practices Code for
NBFCs” issued by the Reserve Bank of India.
This sets minimum Fair Practice standards for the Company to follow when dealing with
customers. It provides information to customers and explains how the Company is expected to
deal with them on a day to day basis.
The Company plans to provide unsecured and secured loans to its various customers. Such
credit facilities will be extended to different types of customers, which include Individuals,
Proprietorships, Partnership Firms, Companies and other Legal entities. This Code is
applicable to all categories of products and services offered (currently offered or which may be
introduced at a future date) by the Company.
Objectives of the Code

a. To provide the customers effective overview of practices followed by the Company in
respect of financial facilities and services offered by the Company
b. To promote good and fair practices by setting minimum standards in dealing with
customers
c. To increase transparency so that the customer can make an informed decision
d. To promote a fair and cordial relationship between the customer and the Company
Application of the Code

This code shall apply to all employees, agents, representatives and vendors of the company to
represent it in the course of its business with respect to all products and services.
Commitment
Company shall adhere to this code to act fairly and reasonably in all dealings, on the ethical
principle of integrity and transparency, to meet the standard practices prevalent in the finance
industry.
Loan Application and Processing
The Company shall convey to its customers, in writing (in a language understood by the
customer) of all terms and conditions application to a loan application made by the customer,
including the rate of interest and any additional terms and conditions that affects the interests
of the customer.
The Company will inform the customers about the documentary information the Company
needs from them to establish their identity, address, credit assessment and such other
information about them as required to comply with legal / regulatory requirements and
assessment of the application.
The Company will provide its customers acknowledgment of receipt of loan application forms.
Loan Appraisal and Terms and Conditions
The customers shall be given a loan sanction letter and copy of the loan agreement along with
all enclosures which shall include the details of the loan such as amount sanctioned,
annualized interest rate and method of application thereof, service charges, prepayment
charges and other terms and conditions.
The penal interest that will be charged for late payment shall be mentioned in bold letters in
the sanction letter / loan documents.
Disbursement of Loan and Changes to Terms and Conditions

a. The Company shall give notice to its customer in vernacular language or a language
which is understood by the customer of any change in the terms and conditions including
disbursement schedule, interest rates, service charges, prepayment charges etc.
b. The Company shall ensure that changes in interest rates and charges are effected only
prospectively and shall include suitable condition in this regard in the loan agreement.
c. The Company shall ensure that any decision to accelerate or delay payment or
performance by the customer shall be undertaken in a transparent manner according to
the terms set out in the agreement executed by the Company with its customers.
d. The Company will release all securities on repayment of all dues or on realisation of the
outstanding amount of loan subject to any legitimate right or lien for any other claim the
Company may have against the customer. If such right of set off is to be exercised, the
customer will be given notice about the same with full particulars about the remaining
claims and the conditions under which the Company is entitled to retain the securities
till the relevant claim is settled / paid.
General
a. The Company will refrain from interference in the affairs of the customer except for the
purposes provided in the terms and conditions of the loan agreement (unless
information, not earlier disclosed by the customer, has come to the notice of the
Company).
b. In case of receipt of request from a Customer for transfer of loan account, the consent or
otherwise i.e. objection of the Company, will be conveyed within 21 days from the date
of receipt of request. Such transfer shall be as per transparent contractual terms in
consonance with law.
c. In the matter of recovery of loans, the Company will not resort to undue harassment
such as persistently bothering the borrowers at odd hours, use of muscle power for
recovery of loans, etc. To avoid rude behaviour from the staff of the Company, the
Company shall ensure that the staff are adequately trained to deal with the customers in
an appropriate manner.
Rate of Interest
a. The Company had laid down appropriate internal principles and procedures in
determining interest rates and processing and other charges.
b. The company has adopted an interest rate model taking into account relevant factors
such as its cost of funds, margin and risk premium and this is used to determine the rate
of interest to be charged for loans and advances for a customer.
c. The rate of interest to be charged depends much upon the risk of customer (its financial
strength, business, competition, past history etc.). The rate of interest for a customer
would be communicated explicitly in the sanction letter.
d. The rate of interest will be annualised so that the borrower is aware of the exact rates
that would be charged to the account.
e. The company shall not charge foreclosure charges / pre-payment penalties on all
floating rate term loans sanctioned to individual borrowers.
f. The Company shall, at the time of disbursal, ensure that the interest rate and other
charges, if any, on loan and advances are in strict adherence to above referred internal
principles and procedures.
Non-Discrimination
We will not discriminate between our customers on the basis of their gender, race or religion.
Our policy is to treat all the customers fairly. The company will offer assistance, information
and service in a fair, equitable and consistent manner.
Collection of Dues
a. Whenever loans are given, the Company shall explain to the customer the repayment
process by way of amount, tenure and periodicity of repayment.
b. If the customer does not repay in accordance with the agreed repayment schedule, the
Company will undertake necessary steps for recovery of dues in accordance with
applicable law and terms of loan agreement as executed with such customer. The
process may involve reminding the customer by sending a notice or by making personal
visits.
c. Company shall provide customers with all the information regarding dues and shall
endeavour to give sufficient notice for payment of dues.
d. All assistance shall be given to resolve disputes or differences regarding dues in a
mutually acceptable and in an orderly manner.
e. During visits to customer’s place for dues collection, decency and decorum shall be
maintained.
f. In the matter of recovery of loans, the Company would not resort to undue harassment
or use of force.
g. Company staff or any person authorized shall identify themselves through ID card or by
any other medium while representing the company for collection of dues or / and
security repossession.
Repossession of hypothecated assets

The company has a built in re-possession clause in the loan agreement with the customer
which is legally enforceable. To ensure transparency, the terms and conditions of the loan
agreement contains provisions regarding:
i. notice period before taking possession
ii. circumstances under which the notice period can be waived
iii. the procedure for taking possession of the security
iv. a provision regarding final chance to be given to the customer for repayment of loan
before the sale / auction of the assets
v. the procedure for giving repossession to the customer
vi. the procedure for sale / auction of the assets
A copy of the terms and conditions would be made available to the customer. The company
shall furnish a copy of the loan agreement along with a copy each of all enclosures quoted in
the loan agreement to the customer at the time of sanction / disbursement.
Grievance Redressal
Customers who wish to provide feedback or send in their complaint may use any of the
following mediums between 10 AM and 5 PM from Monday to Friday on all working days.
1. Call our Customer Service Helpline on +91-9480365365
2. Email us at: [email protected]
3. Write to us at the below mentioned address:

APARAMPAAR FINANCE PRIVATE LIMTED
1052 SOBHA DAHLIA
SARJAPUR OUTER RING ROAD,
BELLANDUR, BANGALORE 560103
In case the complaint is not resolved within the given time or if the customer is not
satisfied with the solution provided, the customer can approach the Grievance
Nodal Officer. The company has appointed NEELAM DWIVEDI as the Nodal officer and
he can be reached at
APARAMPAAR FINANCE PRIVATE LIMTED

1052 SOBHA DAHLIA
SARJAPUR OUTER RING ROAD,
BELLANDUR, BANGALORE 560103
Phone No: +91-80-41124575
Email us at: [email protected]
If the complaint/dispute is not redressed within a period of one month, the customer
may appeal to Officer-in-Charge of the Regional Office of Department of Non-Banking
Supervision of RBI at Bangalore. The details of DNBS regional office are given below:
DGM, Department of Non-Banking Supervision

Reserve Bank of India, Bangalore Regional Office
10/3/8, Nrupthunga Road,
Bengaluru – 560 001, India
APARAMPAAR FINANCE will display the name and contact details of the Grievance Redressal
Officer in all our offices.
Confidentiality
The Company shall collect personal information that it believes to be relevant and required to
for conduct of its business. The Company shall treat all personal information of customers as
private and confidential and shall not divulge any information to a third person unless required
by any law or Government authorities including Regulators or Credit agencies or where the
sharing of information is permitted by the customer. If Company avails services of any third
party for providing support services, Company shall require that such third parties handle
customers’ personal information with the same degree of confidentiality as adopted by the
Company itself.
Advertising, Marketing and Sales

The Company shall ensure that all advertising and promotional material is clear, and not
misleading. Should the customers choose to receive, the Company may, from time to time,
communicate to customers various features of the Company’s products that are availed by
them. Information about their other products or promotional offers in respect of products /
services may be conveyed to customers, should the customers choose to receive them.
In the event of receipt of any complaint from the customer that representative of the company
has engaged in any improper conduct or acted in violation of this Code, appropriate steps shall
be initiated to investigate and address the complaint.
Review and Publication

The Company management shall do a periodic review of the compliance of the Fair Practices
Code and the functioning of the grievances redressal mechanism at various levels of
management. A consolidated report of such reviews shall be submitted to the Board at regular
intervals.
The latest Code shall be displayed at all our branches / offices and published on the web-site
of the Company for the information of various stakeholders.

APARAMPAAR Finance Fair Practice Code ND 2021

Uploaded by

Copyright:

Available Formats

APARAMPAAR Finance Fair Practice Code ND 2021

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

APARAMPAAR Finance Fair Practice Code ND 2021

Uploaded by

Copyright:

Available Formats

FAIR PRACTICE CODE

Objectives of the Code

Application of the Code

Disbursement of Loan and Changes to Terms and Conditions

Repossession of hypothecated assets

3. Write to us at the below mentioned address:

APARAMPAAR FINANCE PRIVATE LIMTED

DGM, Department of Non-Banking Supervision

Advertising, Marketing and Sales

Review and Publication

You might also like