Fair Practices Code
Pursuant to the Notification issued by the Reserve Bank of India by its Circular No.RBI/2006-07/138 DNBS (PD) CC No.80/03.10.042/2005-06 dated 28th September 2006, Seyad Shariat Finance Limited (reffered to as the "Company") has formulated this Fair Practices code lay down the following procedures/practices in dealing with the business transactions. This code shall come into effect on 1st April 2007.
Applications for loans and their processing
>> Loan Application forms 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 loan application form indicated the documents required to be submitted with application form.
>> The Company would give acknowledgement for receipt of all loan applications. The time frame which loan apllications shall be disposed of is also indicated in the acknowledgement.
>> The Company would give acknowledgement for receipt of all loan applications. The time frame which loan apllications shall be disposed of is also indicated in the acknowledgement.
Loan Appraisal and terms/conditions
The Company shall convey in writing to the borrower by means of sanction letter, the amount of loan sanctioned along with the terms and conditions including annulaised rate of Lease/HP/Loan Charges and method of application thereof. The company shall keep the acceptance of these terms and conditions by the borrower on its record. The company shall also communicated to the borrower if the loan is rejected.
Disbursement of loans including changes in terms and conditions
>> The Company shall give notice to the borrower of any change in the terms and conditions including disbursement schedule, Lease/HP/Loan rates, servcice charges, prepayment charges etc. The company shall ensure that changes in Lease/HP/Loan rates and chrages are effected only propectively. the Loan Agreement contains necessary provisions to this effect.
>> Decision to recall / accelerated payment or performance under tge agreemtn shall be in consonance with the loan agreement.
>> The Company shall release all securities on repayment of all dues or on realisation of the outstanding amount of loan, subject to any legitment right or lien for any othe rclaim the Comapny may have against the borrower. If such right of set off is to eb excercised, the borrower shall be given notice about the same with full particulars about the remaining claims and the conditions under the Company is entitled to retain the securities till the relevant claim is settled /paid.
>> Decision to recall / accelerated payment or performance under tge agreemtn shall be in consonance with the loan agreement.
>> The Company shall release all securities on repayment of all dues or on realisation of the outstanding amount of loan, subject to any legitment right or lien for any othe rclaim the Comapny may have against the borrower. If such right of set off is to eb excercised, the borrower shall be given notice about the same with full particulars about the remaining claims and the conditions under the Company is entitled to retain the securities till the relevant claim is settled /paid.
General
>> The Company shall refrain from interference in the affairs of the borrower except for the prupose provided in the terms and conditions of the loan agreemtn (unless new information, not earlier disclosed by the borrower, has come to the notice of the Company).
>> In case of receipt of request from the borrower for transfer of borrowal account, the consent or the company or otherwise i.e. the Company's objection, if any shall be conveyed within 21 days from the date of receipt of request. Such transfer shall be as per transperent contractual terms and consonance with law.
>> In the matter recovery of loans, consistent with its policy over the years, the company shall not resort to undue harassment viz. persistently bothering the borrowers at odd hours, use of muscle power for recovery of loans,etc.
>> Grievances, if any, in connection with this code shall be addressed to Mr.F.Sadiq, wholetime Director, Seyad Shariat Finance Limited, 54B/8A-S.N.High Road, Tirunelveli - 627 001 by letter.
>> In case of receipt of request from the borrower for transfer of borrowal account, the consent or the company or otherwise i.e. the Company's objection, if any shall be conveyed within 21 days from the date of receipt of request. Such transfer shall be as per transperent contractual terms and consonance with law.
>> In the matter recovery of loans, consistent with its policy over the years, the company shall not resort to undue harassment viz. persistently bothering the borrowers at odd hours, use of muscle power for recovery of loans,etc.
>> Grievances, if any, in connection with this code shall be addressed to Mr.F.Sadiq, wholetime Director, Seyad Shariat Finance Limited, 54B/8A-S.N.High Road, Tirunelveli - 627 001 by letter.
