Fair Practice Code
FinanceEDGE A division of Helpage Finlease Limited (here in after referred to as "FinanceEDGE" or "Company") is a Non-Banking Finance Company (NBFC) registered with Reserve Bank of India ("RBI"), incorporated with a socio-economic objective of making better education affordable to the masses in India. It has been founded by a group of five highly qualified professionals with a vision to remove the biggest barrier to quality education in our country, viz., and availability of finances with the parents to be able to provide the best possible education for their children.
FinanceEDGE A division of Helpage Finlease Limited is in the business of providing easy, transparent and quick finances to all deserving applicants ("Customer(s)") without any discrimination on the basis of race, caste, colour, religion, sex, marital status, age or handicap, to be fair and reasonable in all customer dealings. Pursuant to the revised guidelines on Fair Practices Code ("FPC") issued by The Reserve Bank of India (RBI) on July 1, 2015 to all NBFCs, the Company, has formulated and implemented the below detailed Fair Practice Code ("Code").
The Code applies to all the products and services, provided by the Company across the counter, over the phone, by post, through interactive electronic devices, on the Internet or by any other method (currently offered or introduced at a future date).The objectives of the Code are:
- To follow good, fair and transparent business practices by setting minimum reasonable standards;
- To ensure transparency in the Company's dealings with its customers;
- To enable customers to have better understanding of what they can reasonably expect of the services offered by the Company;
- To ensure compliance with legal norms in matters relating to recovery of advances;
- To strengthen mechanisms for redressal of Customer grievances.
This code shall apply to all employees of the company and other persons authorized to represent it in the course of its business with respect to all products and services.
APPLICATIONS FOR FEE FINANCE AND THEIR PROCESSING
All communications to the Customer will be in the vernacular language or a language as understood by the Customer, as may be required, or through a counsellor who can help the Customer to understand the terms of the finance and the documents to be executed in relation to the finance.
The website and application forms with supporting documents include necessary information which affects the interest of the borrower, so that a meaningful comparison with the terms and conditions offered by other NBFCs can be made and informed decision can be taken by the borrower. The website and application form with supporting documents will also indicate the documents required to be submitted with the application form Company will provide appropriate acknowledgement for receipt of applications.
FEE FINANCE APPRAISAL AND TERMS/CONDITIONS
FinanceEDGE A division of Helpage Finlease Limited shall comply with the KYC guidelines of RBI & conduct a due diligence on the credit worthiness of the Customer to ensure the repayment capacity of the borrower which shall be an important parameter for taking decision in relation to processing of any application. The assessment would be in line with the risk-based assessment policies, norms and procedures adopted by the Company which are subject to review taking into account the business exigencies, regulatory and customer sentiments and market practices.
All particulars required for processing the Loan Application shall be collected by FinanceEDGE A division of Helpage Finlease Limited at the time of Application. In case we need any additional information, the Customer would be told that he/she would be contacted immediately again.
FinanceEDGE A division of Helpage Finlease Limited will convey in writing to the borrower in the vernacular language or a language as understood by the Customer by means of sanction, the amount of loan sanctioned along with the terms and conditions including rate of interest and method of application thereof and keep the acceptance of these terms and conditions by the borrower on its record. FinanceEDGE A division of Helpage Finlease Limited shall also mention the late fee and interest for late repayment in the agreement.
The Company shall furnish a copy of the agreement as understood by the Customers along with a copy of all the annexure quoted in the agreement to the Customers.
The aforesaid rate of interest applicable to customers would be based on FinanceEDGE A division of Helpage Finlease Limited Benchmark Lending Rate which in turn is dependent on factors such as cost of funds, margin, etc. plus a spread which is determined on the risk profile of the case which vary on account of a number of factors such as student's academic background, employability of the selected course from a selected college, financial strength of the borrower/co-borrower, loan repayment capability, credit history, cost/s associated with underwriting and servicing the loan, etc.
DISBURSEMENT INCLUDING CHANGES IN TERMS AND CONDITIONS
Disbursement shall be made in accordance with the disbursement schedule terms or conditions given in the Agreement/ Sanction Letter and agreed by the Customer.
FinanceEDGE A division of Helpage Finlease Limited shall give notice to the borrower in the vernacular language or a language as understood by the borrower of any change in the terms and conditions including disbursement schedule, interest rates, service charges, prepayment charges etc. FinanceEDGE A division of Helpage Finlease Limited shall also ensure that changes in interest rates and charges are effected only prospectively. A suitable condition in this regard should be incorporated in the agreement.
Decision to recall / accelerate payment or performance under the agreement should be in consonance with the agreement.
FinanceEDGE A division of Helpage Finlease Limited shall release all securities on repayment of all dues or on realisation of the outstanding amount of finance subject to any legitimate right or lien for any other claim NBFCs may have against borrower. If such right of set off is to be exercised, the borrower shall be given notice about the same with full particulars about the remaining claims and the conditions under which company entitled to retain the securities till the relevant claim is settled/ paid.
FinanceEDGE A division of Helpage Finlease Limited will refrain from interference in the affairs of the borrower except for the purposes provided in the terms and conditions of the loan agreement (unless information, not earlier disclosed by the borrower, has been noticed).
In the matter of recovery of finance amount, FinanceEDGE will not resort to undue harassment viz; persistently bothering the borrowers at odd hours, use muscle power for recovery of loans etc.
FinanceEDGE will make all efforts so that its staff is adequately trained to deal with the customers in an appropriate manner. It will be accountable for preventing inappropriate staff behaviour.
FinanceEDGE shall charge minimum foreclosure charges/ pre-payment penalties on all floating rate term loans sanctioned to individual borrowers, with immediate effect.