Fair Practices Code
Pursuant to Reserve Bank of India (RBI) ‘s Circular DNBS (PD) CC NO.80/03.10.042 /2005- 06 of 28 September 2006, issued to Non-Banking Financial Companies (NBFCs), the Board of Directors have adopted a Fair Practices Code (“Code”) for Eight Finance Private Limited (“Eight Finance”) and its property “Kodo”.
The policy as accepted and implemented is in conformity with the Guidelines on Fair Practices Code for NBFC’s as contained in the aforesaid RBI Circular. Eight Finance’s business will be conducted in accordance with prevailing statutory and regulatory requirements, with due focus on efficiency and customer-orientation.
Eight Finance's key commitments to customers:
a) Explaining their financial implications
Application for Credit Facility & Processing
Appraisal of Credit Facility Amount
In accordance with Eight Finance’s appraisal norms, facility application will be considered and the facility amount will be approved after applying internal credit appraisal norms. Eight Finance shall convey to the borrower, the amount of credit facility approved along with the terms and conditions. Additionally, Penal Interest on late repayment is clearly highlighted in facility terms. Eight Finance shall keep a record of customer’s acceptance of all these terms and conditions. Eight Finance shall at the time of sanction of the facility, furnish a copy of facility documents and related enclosures to the customer.
Disbursement of Facility & changes in Terms & Conditions
Eight Finance shall give borrowers adequate information and time of any change in the terms and conditions as already consented to by the borrower - including changes in disbursement schedule, repayment schedule, interest rates, penalty or late fees, etc. Eight Finance will not retrospectively charge any borrower or individual for any change in its business.
Eight Finance shall release any or all securities as maintained as and when the dues are cleared by borrowers. Upon clearing dues, borrowers may choose to continue or terminate the Facility agreement post changes.
Grievance Redressal Mechanism
Eight Finance will not interfere in the business activity of any borrower except as stated in the terms and conditions of the Facility agreement. Eight Finance, however, can and will monitor the usage of its services by borrower for evaluating appraisal and or any other services that may arise out of future business prospects of the company.
Eight Finance will not discriminate between individuals or companies based on religion, gender, orientation, color, caste, etc. Eight Finance also promises to not indulge in any form of harassment for recovery of facility amount from borrowers. Any employee of Eight Finance indulging in such practice can be reported to grievance redressal matrix for internal action which, however, may not be communicated to the borrower.
This Fair Practices Code is approved by the Board of Eight Finance Private Limited to be effective immediately and holds true until any changes committed at the discretion of the board based either on self-improvisation of processes or any other regulatory framework laid down by governing bodies of NBFC’s.