The Fair Practices Code (“FPC”) has been formulated and approved by the Board of Directors of Kasar Credit and Capital Private Limited (“Company”) in accordance with the Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023 issued by the Reserve Bank of India (“RBI”) (“RBI Master Directions”), as amended from time to time.

In accordance with Chapter VII (Fair Practices Code) of the RBI Master Directions, Non Banking Financial Companies (“NBFCs”) having customer interface are required to adopt the guidelines on Fair Practice Code (‘FPC’) prescribed in the RBI Master Directions. The Company, being an NBFC having customer interface, has adopted this FPC for the lending business. The FPC also seeks to incorporate various disclosure requirements prescribed by the RBI vide its ‘Guidelines on Digital Lending’ (“Digital Lending Guidelines”) dated September 02, 2022, as applicable to the Company’s lending business.

The Company has adopted the FPC for implementation with an endeavor to achieve fair and transparent practices while dealing with its customers/ borrowers. This FPC intends to promote good and fair practices by setting minimum standards to be followed while dealing with the customers. Further, the FPC also seeks to increase transparency so that the customers can have better understanding of the products/ services being offered by the Company.

This FPC shall apply across all aspects of the Company’s lending business operations including digital lending, marketing, loan origination, processing, servicing, collection activities etc. The Company’s commitment to the FPC would be demonstrated in terms of employee accountability, monitoring and auditing programs, training and technology.

The Company’s Board of Directors and the management are responsible for establishing practices designed to ensure that its operations reflect a strong commitment to the FPC and that all employees are aware of the FPC.

• Authorised Representative: A person other than an Advocate duly appointed and authorised in writing to represent a complainant in the proceedings before the officials of RBI
• Board: Board of Directors of the Company.
• Complaint: Any representation made in writing or through other modes alleging deficiency in service on the part of the Company, and/ or seeking relief under the Scheme.
• Company: Kasar Credit and Capital Private Limited.
• DirectorAn individual Director or any of the Directors on the Board of the Company.
• FPC: Fair Practices Code.
• RBI: Reserve Bank of India.

Applications for Loans and Processing

• All loan products of the Company shall be as per the Loan Policy adopted by the Company.
• All communications to the customer by the Company shall be in English as it is commonly understood by all the customers of the Company. If a customer explicitly requests communication in another language, the Company will acknowledge this preference, and all subsequent communications with that client will be in the requested language.
• As part of the process and to ensure transparency, the Company, at the application stage, shall provide all necessary information including but not restricted to processing fees/charges, if any, non-refundable fees in case of rejection of loan proposal, pre-payment options etc., which effects the interest of the customer 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 customer.
• The Company shall provide acknowledgment for receipt of loan applications along with the time frame within which loan applications would be disposed-off.
• The Company, at loan application stage, shall indicate all the documents required to be submitted along with the application form.
• On exercise of choice, the customer would be given the relevant information about the loan product of his/her choice.
• The customer would be informed about the status of his/ her application, as and when required. The Company, while accepting loan application shall explain the entire loan process and journey till the sanction and disbursement of loan. The customer shall also be informed about the timelines within which the entire loan process will be completed in the ordinary course of business.

Loan Appraisal Terms & Condition

• The Company shall scrutinize the information submitted by the customer and, if any additional data is required, it shall seek the same promptly to facilitate expeditious disposal of the loan application.
• The Company shall convey key terms and conditions of the proposed loan in writing (in English as it is understood by all customers of the Company), by means of Sanction letter or any other form of written communication and the same shall include:
• The amount of loan sanctioned along with the terms and conditions including annualized rate of interest
• Details of the default interest / Overdue charges (expressed in percentage per month/ annum as the case may be) and the charges payable by the customers in relation to their loan account and method of application thereof
• Overdue charges for late repayment of loan would be expressly mentioned in bold in the loan agreement
• There shall be no capitalisation of overdue charges charged by the Company to the borrower i.e., no further interest will be computed on such overdue charges.
• The customer shall be required to provide acceptance of terms and conditions of the sanction if he/ she intends to avail the loan.
• The quantum and reason for overdue charges shall be clearly disclosed by the Company to the customers in the loan agreement and most important terms & conditions/Key Fact Statement (KFS) as, in addition to being displayed on websites of the Company under Interest rates and Service Charges.
• If the Company cannot provide the loan to the applicant, it shall endeavour to convey the reason(s) for rejection.
• The Company shall furnish a copy of the loan agreement in English as understood by the borrower along with copy of all relevant enclosures quoted in the loan agreement to all the borrowers at the time of sanction/disbursement of the loan and shall be duly approved by the customer and countersigned by the authorized officials of the Company.

Disbursement of Loan and Changes in Terms & Conditions

• The Company shall give notice in English as understood by the customer regarding any change in the terms and conditions including disbursement schedule, interest rates, service charges, prepayment charges etc.
• The penal charges to be charged by the company for late repayment of loan shall be mentioned in bold letters in the loan agreement.
• Decision to recall / accelerate payment or performance under the agreement will be in consonance with the loan agreement.
• If the customer does not adhere to repayment schedule, a defined process in accordance with the laws of the land will be followed for recovery of dues. The process will involve reminding the customer by sending the notice or by making personal visits. In case of default, the Company may refer the case to the recovery agent and will inform the customer of the recovery proceedings being initiated. The Company shall ensure that its process of recovery does not involve harassment to the customer. Appropriate instructions will be provided by the Company to its staff for handling customer queries and grievances cordially.
• The Company shall not charge foreclosure charges/ pre-payment penalties on any of the loans sanctioned to individual borrowers.
• All the fees / charges / interest shall be charged as per the interest rate policy adopted by the Company and as per the terms & conditions applicable to the Loan.
• The Company shall consider genuine cases of financial difficulty appropriately. The customer should identify any such problem and should let the Company know as soon as possible.
• All personal information of the customer would be confidential and would not be disclosed to any third party unless agreed to by the customer in writing. The term ‘Third party’ excludes all Law enforcement agencies, Credit Information Bureau, RBI, other banks and financial institutions and any other state, central or other regulatory body. Further, the Company may reveal Customer information under the following circumstances also
• If the Company is compelled by law.
  If it is in the Public Interest to reveal the information.
  If the interest of the Company to require disclosure.

Responsibility of Board of Directors

• The Company, with the approval of its Board of Directors, has laid down Grievance Redressal Mechanism (“GRM”) within the organization as per details mentioned in the next paragraph. Such a mechanism ensures that all disputes arising out of the decisions of the Company’s functionaries are heard and disposed-off at least at the next higher level. The Board of Directors shall annually review the compliance of the FPC and the functioning of the GRM. A consolidated report in this regard shall be submitted to the Board every year.

The Company, with the approval of its Board of Directors, shall appoint the Grievance Redressal Officer as Nodal Officer. Below is the Grievance Redressal Mechanism approved by the Board of Directors of the Company

Language and Mode of Communicating the FPC The Company, in accordance with the Guidelines on FPC and RBI Master Directions, shall put in place the FPC in English language. The Company shall also make the FPC available in regional/ vernacular languages for the customers who request for the FPC in vernacular language.

Norms for Loans Sourced by the Company over Digital Lending Platform/ Apps (“DLAs”) - In case, the Company sources borrowers and/ or recovers dues over a digital lending platform (irrespective of whether they lend through their own digital lending platform or through an outsourced lending platform), the Company shall abide by this FPC in letter and spirit and in the manner it may be applicable to its business. Further, the Company shall follow the following instructions:

• Names of digital lending platforms engaged as agents shall be disclosed on the website of the Company.
• Digital lending platforms engaged as agents shall be directed to disclose upfront to the customer the name of the Company on whose behalf they are interacting with him.
• Immediately after sanction but before execution of the loan agreement, the sanction letter shall be issued to the borrower on the letterhead of the Company.
• A copy of the loan agreement along with a copy of all enclosures quoted in the loan agreement shall be furnished to all borrowers at the time of sanction/disbursement of loans.
• Effective oversight and monitoring shall be ensured over the digital lending platforms engaged by the Company.
• Adequate efforts shall be made towards creation of awareness about the grievance redressal mechanism.

Norms to be followed by the Company with respect to Digital Lending – The Company shall comply with the provisions of Reserve Bank of India (Digital Lending) Directions, 2025 (as amended from time to time) to the extent applicable.

The FPC shall be amended or modified with approval of the Board. The FPC shall be reviewed by the Board on an annual basis. Consequent upon any amendments in RBI Master Directions or any change in the position of the

Notwithstanding anything contained in this FPC, in case of any contradiction of the provision of this FPC with any existing legislations, rules, regulations, laws or modification thereof or enactment of a new applicable law, the provisions under such law, legislation, rules, regulation or enactment shall prevail over this FPC.