In the loan application form, the Bank will provide comprehensive information including information about rate of interest, fees and other charges, if any, payable for processing, penalty for delayed repayments, the amount of such fees refundable in case of non-acceptance of application, prepayment options and other matter which affects the interest of the borrowers, for all categories of loans, irrespective of the amount of loan sought by them. Interest will be charged to the customer only after disbursement.

a. The Bank will provide acknowledgement for receipt of all loan applications indicating the time frame within which the application will be disposed of.

b. The Bank will verify the loan application and if additional details / documents are required; these will be sought from the applicant within 14 days from the date of receipt of the application form (for credit card applications, the time limit of 30 days will be applicable).

c. For all categories of loans and irrespective of any threshold limits, the Bank will be expected to process the application within 14 days from the date of receipt of the application form (for credit card applications, the time limit of 30 days will be applicable).

d. In case the application is turned down, the Bank will convey in writing or through email/SMS to the applicant the reasons for rejection within one month.

a. The Bank will ensure that there is proper assessment of credit requirement and creditworthiness of borrowers. Stipulation of margin and security will be based on due diligence and creditworthiness of borrowers in line with extant Lending Policy of the Bank. The methodologies for assessment have been detailed in the various policy/product notes of the Bank. The assessment will be based on all credit related and such other information as may be called for/collected by the Bank.

b. The Bank will convey to the borrower the credit limit along with the terms and conditions thereof and keep the borrower’s acceptance of these terms and conditions given with his full knowledge, on record.

c. The Bank will provide a copy of the loan agreement along with a copy each of all enclosures quoted in the loan agreement (either digitally or physically at the option of the borrowers) to all the borrowers after due execution of the documents as per terms of sanction letter even when no specific request in this regard has been made by the borrower.

d. The loan agreement will clearly stipulate that credit facilities sanction are solely at the discretion of the Bank. These may include approval or disallowance of facilities such as drawings beyond the sanctioned limits, honouring cheques issued for purposes other than those specifically agreed to in the credit sanction and disallowing drawing on a borrower account on its classification as a non-performing asset or in the event of default or on account of non-compliance with the terms of sanction. The Bank would not have an obligation to meet further requirements of the borrowers on account of growth in business etc. without proper review of credit limits.

e. The Bank will ensure timely disbursement of loans sanctioned in conformity with the terms and conditions governing such sanction. The Bank will give notice of any change in the terms and conditions including interest rates, service charges etc. The Bank would ensure that changes in interest rates and charges are effected only prospectively (unless otherwise required by regulation/law).

i. The Bank will charge interest only from the date of actual disbursement i.e. from the date of online transfer or handing over the cheque to the counterparty.

ii. Where the loan is outstanding for only a part of the month, interest will be charged only for the period for which the loan is outstanding.

iii. In case of advance EMI collection, the same will be adjusted against the principal while computing interest.

iv. The Bank will refund the excess interest if the same is done inadvertently for any reason whatsoever.

a. Before taking decision to recall / accelerate payment or performance under the loan agreement or seeking additional securities, the Bank will give notice to borrowers, as specified in the loan agreement or a reasonable period if no such condition exists in the loan agreement (unless the security is in jeopardy).

b. The Bank will release all securities on receiving payment of loan or realisation of loan subject to any legitimate right or lien for any other claim the Bank may have against borrowers. If such right of set off is to be exercised, borrowers will be given notice about the same and the documents under which the Bank is entitled to retain the securities.

a. In case of receipt of request for transfer of borrowal account, either from the borrower or from a bank/financial institution, which proposes to take over the account, the consent or otherwise i.e. objection of the Bank, if any, would be conveyed within 21 days from the date of receipt of request.

b. The Bank will not resort to undue harassment viz. persistently bothering the borrowers at odd hours, use of muscle power for recovery of loans, etc

c. The Bank will not discriminate on grounds of sex, caste and religion in the matter of lending.

d. An appropriate grievance redressal mechanism has been put in place whereby disputes arising out of the decisions of Bank’s functionaries would be heard and disposed off in the manner prescribed under the Grievance Redressal policy of the Bank.

e. The Bank will be accountable for inappropriate behaviour by its employees or employees of the outsourced agency and will provide timely grievance redressal.

f. In case of any grievance or complaint of inappropriate behaviour against the Business Correspondent or its employees, the borrower may contact Customer Service Department of the Bank on Toll Free No: 1800 103 2977 or mail their grievance or complaint to customerservice@equitasbank.com.