A HANDBOOK FOR BRANCHES (Volume I)

A compendium of guidelines issued to Branches of Lulufinserv from Head Office (Updated as on 28th February 2023)

Credit/Risk/Operations/Department.

A HANDBOOK FOR BRANCHES (Volume I)

A compendium of guidelines issued to Branches of Lulufinserv from Head Office (Updated as on 28th February 2023)

Credit/Risk/Operations/Department.

PRE

We started our Branch o our first branch in Thriss We increased our footpri and we are planning to list, with an aim of increa year.

Many new employees hav numbers continue to incr companies, and some are

We had issued guidelines/Standard oper etc to branches during th and the new members wh be aware of the various Hence, we are bringing Branches” which is a c operational guideline procedures/ Policies etc is so far. Hope that this w existing branches and th and to all our existing an

Please make use of the h extend and comply meticulously. Surendran Amittathody MD & CEO

EFACE

operations with opening of sur on 1st November 2021. ints to other locations later add more branches to the asing the numbers to 50 this

ve joined our Team and the rease. All are from different e freshers.

various operational rating procedures/ Policies he past. The new branches ho joined our team may not s instructions issued so far. out this “A Handbook for compilation of the various es/Standard operating ssued from the Head Office will be of much use to the he branches to be opened nd future team members.

handbook to the maximum with the instructions

INDEX 1

Standard Operating Procedure SOP-Gold Loan SOP-Personal Loan SOP-Business/MSME Loan SOP-Consumer Durable Loan

2

Inter Office Memorandum (IOM Keeping of Registers and files MIS from Branches Daily EOD Checklist Daily EOD Checklist- Annexure

Daily EOD Checklist-Annexure 2

Items not to be accepted for pled

Customer ID creation & Risk Ca Revision of Gold loan schemes Gold Loan Takeover

Release of pledged gold orname Consumer Durable Loans

Obtaining Aadhar Informed cons 3

Forms

Gold Ornaments-Ownership cer Aadhar Consent format

Gold Loan-Declaration from borr

Gold Loan-Declaration from borr

Utilization Certificate for Busines

Field Verification Report for Bus 4

Back to Basics

Back to basics 1-Business loans

Back to basics 2-Personal loans Back to basics 3-Cibil Score

Back to basics 4-Gold Loan LTV

Back to basics 5-Everything you 5

Policies Fair Practices Code Grievance Redressal Policy

6

Credit Snippets-20 issues

es (SOPs)

Ms)- (Which are relevant now)

1

2

dge

ategorization of Borrowers

ents

sent from customers

rtificate

rowers-Malayalam

rowers-English

ss/MSME loans

siness/MSME Loans

s

s

V

u must know about SMA/NPA classification

Lulu Gold

Standard Opera Sl 1

Topic Lead Generation

Steps Direct lead (Cus marketing efforts

2

Interacting with Ensure the customer • Age should be • Understand the repayment. Min obligation. • Explain the sa needed by the • The minimum considered for applicable if a s • Verify orally wit approximate we confirm the o certificate in the appraiser. • In the proces personal detail embarrassmen • In respect of go of ownership is reasons, Branc verification is d has the right of pledged. PAN and above. • Open the pack examination of same has to be • Gold ornamen accepted.

3

Documents Collection

Obtain duly filled a scrutinize and ente undertaking letter i be obtained.

d Loans

ating Procedure

stomer visit the Branch for loan) or through s of the Branches.

21 years and above e source of income of the borrower for the nimum capacity to service the monthly interest

anction process and enquire which facility is customer. net weight of gold jewellery that can be r a single pledge is 2 grams. This is not set of ornaments are pledged. th the borrower the number of items and the eight, from which shop it was purchased, and ownership of the ornaments. Ownership e approved format to be signed by the branch

ss of interaction with the customer about ls, it should be ensured that no offence or nt is caused to the loan applicant. old loan of Rs. 5 Lakh and above, if clear proof s not being obtained due to various practical ches should ensure that customer background diligently done and ensure that the customer f legal ownership of the gold ornaments being Card is mandatory for gold loans of Rs. 5 L

ket in front of the customer and do a physical the items. If there is any damaged item, the e brought to the notice of the customer. nts of purity below 18 carets shall not be

application form along with other documents, er in LCode Software. The declaration cum in vernacular duly signed by the borrower to

Page 1 of 11

4

Entry in LOS

A) Gold Loan App 1. Gold Loan A 2. Gold Loan A 3. Deviation Ap a. Deviation A 4. Gold Loan A 5. Pawn Ticket 6. Gold Loan D B) Gold Loan App 1. Gold Loan A 2. Gold loan A C) Gold Loan App 1. Gold Loan A 2. Gold loan A D) Take over Gol A. Take Over 1. Over Loa 2. Loan Ap 3. Gold Loa B. Take Over 1. Take Ov 2. Loan Ap 3. Pawn Ti

5

Scrutiny and • verification of KYC • •

6

Process to be • followed at the Branches • • • • • • •

KYC document with OSV seal. Photocopies ar tallies with that Photo of the c camera and to of the custome from passport s etc)

On a daily bas checked which Assess the loan Inform the borr ornaments. With the appro appraised throu Then start ente of the ornamen The net weight deductions on the system. After entering application form of the borrower Match the signa

plication Flow (Normal Gold Loan) Application Entry Approval (With Deviation) pproval Approval by Head-Credit Approval t Printing Disbursement plication Flow (EPI Gold Loan) Application Entry Approval – Disbursement flow plication Flow (Top-up Gold Loan) Application Entry Approval – Disbursement flow d Loan Flow request Flow an Request Entry pproval (Take Over Loan Request) an Disbursement Application Receipt of Gold ver Application Receipt of Gold pproval (Take Over Receipt) icket Printing

ts are to be verified with originals and certified

re self-attested by the applicant and signature of application. customer shall be captured using the web be uploaded in the system. Upload of photo er from any other sources not permitted. (ie size photo/WhatsApp images/KYC document

sis the weighing machine has to be sample should be noted in a register. n eligibility with the ornaments available. rower the approximate amount eligible for the

oval of the borrower, the ornaments have to ugh an acid/ salt test. ering the details of the borrower and the details nts in the Lcode Software. of the ornaments has to be noted after proper purity/stone weight and correctly entered in

all the details in the system, download the ms and the loan agreements and get signature r. ature with the KYC documents available.

Page 2 of 11

• • •

•

7

Appraisal Methods

• •

•

•

•

•

•

Check whether Gold Loans, P whether any ov No loans to be auction earlier, Special care sh examination of the loan at the and insists for im brought by him community. In all cases w genuine owners considered with

Weighing is the The Staff has to The tray has to adjusted to Zer taken while pla taking it away fr total weight sho In case of large used. Care mu removing the tr this, if small or Tray first, and weighing the ite Weight of ston completely igno ornaments sho gross weight a weight) is arrive weight of the or be made, such Ornaments with foreign materia weight arrived considered for lesser than oth are to be avoid Special care m weighing, again etc. In such situ not possible, th If the ornament compared to th exercised beca metals. Gold, w to other metals

r the borrower has availed any other loans like Personal Loans or Consumer loans and verdues are there. granted to customers whose gold was sold in unless approved by Head Office. hall be taken if the person objects to thorough the ornaments, if the person approaches for closing hours of the business of the Branch mmediate disbursement and if the ornaments m are generally used by persons of any other

where the Branches have suspicion on the ship of the ornaments, the loan should not be hout detailed enquiry and proper introduction.

e first step in Appraisal o switch off the fans before starting weighing. o be cleaned well and the scale has to be ro before placing the ornament. Care must be acing the ornaments in the Tray and when rom the tray. Weigh each ornament twice. The ould tally before finalizing the weight e items for weighing, the tray should not be ust be taken to adjust the scale to zero after ray and then proceed to weigh the item. After rnaments are given for Weighing, place the d adjust the Scale to Zero and then start ems nes embedded in the ornaments should be ored and only weight of gold contents in the ould be taken into account. Towards this the and net weight (after deducting the stone ed, and the loan is decided on the basis of net rnament. Where such classification could not ornaments may be avoided. h cotton/ silk threads, copper or silver, other als, etc. should also be assessed and the net at after deduction of these, only should be the loan. If the gold content is comparatively her materials used as above, such ornaments ded for pledge. must be taken to examine the items before nst any possible wax filling/ plastic insertion uations, proper deductions must be made or if hese should not be accepted for pledging. ts have abnormal weight (very high or too low) he size of the ornament, more care should be ause the ornaments may be made up of other when held in palm, feels heavy in comparison s.

Page 3 of 11

•

8

Methods of testing

Where multiple should be weig be noted. The o countercheck th

Acid and salt test

The Acid should be changing should b Step 1: Scra Step 2: Scra Step 3: Scra It will help in Step 4: App any colour c gold. Gold is the only me other substances.

Pointed Scratch T

Step 1. Scratch the Step 2. Apply acid Step 3. Watch for a green, it is copper Step 4. Put a pinch Step 5. If the colou If scratch mark van Please clean with damages due to th Usability test

Ornaments are pur is not usable, appra Some examples of • Comparativ wearable be Flexibility Test Gold ornaments ar checking items suc Higher the flexibilit test on solid bangle

Sound Test: Gold on glass or hard different. Solid Ba dropped on the har the ornaments hav

e ornaments are offered for pledge, each item ghed separately, and gross & net weight shall ornaments shall be then weighed together to he gross weight.

t

e changed on monthly basis and the date of be recorded on the bottle itself atch the ornament in the stone. atch the same portion again atch the same portion a third time. n identifying ornaments with gold coating. ply acid (Nitric Acid) and salt on it. If there is change of the metal melts, then it isn't pure

etal which doesn't react with any acid or any

Test

e ornament on it any colour change. If the colour changes to

h of salt on it. ur changes to white, it is silver nished, it's low in purity cotton or tissue so as to avoid any possible he chemical reactions with acid

rchased for use. If you feel that an ornament aise the same very carefully. f non-usable ornaments are given below: vely big/small ornaments which is not ecause of its size, shape, weight, design etc.

re more flexible as compared to others. When ch as bangles press gently to check flexibility. ty more is the purity. We can apply flexibility e, solid ring, etc.

d has a very distinctive sound when dropped d surface. Impure gold sounds completely angle & Ring has a bell sound when it is rd surface/floor/glass. If there is no bell sound, ve to be appraised very carefully

Page 4 of 11

9

Items not to be accepted as security for loan

• • • • • • • • • • • • • • • • • •

Melted bar / P bar etc). Gol be accepted Jewellery of Items specif updated from Items where proof or decl Items which security by R coins. Kundan set Rudraksha m Polla Thara c Kasu mala w Muthu mala Bangles with Bangles with Gents’ bang grams Lockets (if w Full stoned stone weight Gold items o gold plates, g Knife, vesse Thali

10.

Items accepted The list of gold with conditions as pledge with • Baby Rings ornaments b mandatory d • Baby bangle be treated as • Karimani Ch ornaments b deduction on • Gold Coins w 4 lockets at a • Chain with ornaments b actual deduc each item as • The minimum or INR 500 w

11

Documentation

1. Loan Applica 2. Declaration c

Primary gold (Coins, Ingot – slab, lump, block, ld coins issued by Banks upto 50 grams can d as security. a Temple/Church or any religious institutions. fied by the Company in the negative list m time to time. e the borrower is unable to give a satisfactory laration of ownership. are generally not permitted to be taken as RBI viz Gold Bullion, Primary gold and gold

mala &Thulasi mala chain without hall marking in which pearls are filled with wax/ lead h full wax/lead inside h Lion's/Tiger's heads gles (Punjabi bangles or Kada) above 40

with filling inside) items in which gold weight is less than the t. other than gold ornaments like gold pieces, gold spoons, medals, etc. els, idols, etc.

d items/ornaments which can be accepted conditions s can be accepted along with a set of belonging to him/her but there should be a deduction of 0.5 gram from each baby ring es with weight of 4 grams and above should s normal bangle hain can be accepted along with a set of belonging to him/her but there should be 50% n net weight after reducing the wastages, etc. with hook acceptable along with a chain up to a time Elas can be accepted along with a set of belonging to him/her, but there should be ction of fillings, stone and additional 1 gram on s mandatory deductions m eligibility for a pledge is 2 gm/Loan amount whichever is higher

ation generated from the system. cum undertaking in vernacular.

Page 5 of 11

3. Demand Pro downloaded 4. Terms & Con and undertak him/her and by the Comp 5. KYC Forms 6. Consent to o UIDAI for “eK 7. Any one or m RBI as addr customer: (a) Id L o g b cu (b) A a b u ca (c) R b d P a 8. The loan doc the same sha before disbu ornaments accepted as as prescribe 12

Process to be followed by the Branch head

•

• • • •

The BH/Sup their numbe system. Net checked. The Gold o mentioning ornaments o Download th it by the joint Restrict the day and 5 approval onl EOD, tally th loan packets gold packets

omissory Note (DPN) and Take Delivery Note, from the system. nditions letter which also includes declarations kings by the borrower and acknowledged by any other documents that may be specified pany.

obtain Aadhar details for authentication with KYC” purpose. more of the following documents specified by ress/ID proof for completing the KYC of the

dentity Proof – Passport/PAN/Driving License/Voter ID card/Ration card/Aadhar card or any other identity card issued by a government authority, PSU or nationalized bank containing the photograph of the ustomer. Address Proof – If any of the documents taken as ID proof also contains the full address of the borrower, no separate address proof is insisted upon. In other cases, the following documents an be taken towards address proof: Ration card/latest electricity/landline telephone bills/bank passbook/Aadhar card or any other documents issued by a government authority, PSU or nationalized bank containing the address of the customer. cuments shall contain all relevant clauses and all be mandatorily got signed by the Customer ursement of the loans. The title of the gold will be satisfied with before the gold is s security and the same shall be mandatorily ed herein.

pervisor shall verify the gold ornaments and er and tally with the details entered in the weight of the ornaments should be thoroughly

ornaments shall be stored in the packets the gross weight and net weight of the on packets. he appraiser’s certificate from the system, sign t custodians and keep in the gold loan packet. number of gold loans to 2 per customer per per month. Any excess shall be with HO ly. he number of loan applications with the gold s and the joint custodians will have to keep the s in the vault/safe.

Page 6 of 11

• • •

• •

13

Takeover

•

• • • •

•

•

14

Safe Custody of • Pledged Items • •

All the loan a serial order have to be re The gold loa serially num number. Till EOD the tray in the sa custodian s ornaments a properly sea signature on If any dama damage or o separate pap A certificate letterhead, o purity (in te pledged.

Gold Loan customers, a genuineness Takeover is NBFCs. Takeover sh appearing in Additional or pledge token Partial takeo permitted en customer to Cash should transferred closure of t takeover req and loan ap shall be book Permission f gold loan ta copies of the

Each and ev vault / safe, h Register by t The serial n register The Gold St of BM and t

applications shall be kept in a separate file in and on closure of the loan the applications emoved and kept separately. an packets shall be kept in the safe in a tray mbered in accordance with the gold loan

gold loan packets are to be kept in a separate afe and at EOD the Branch Head and the joint should verify the packets containing the against the applications. The packets are to be aled affixing the BH and Joint custodian n it and to be moved to the safe immediately. aged ornaments are pledged, the details of other discrepancy has to be documented in a per and attached with the documents. e shall be issued to the borrower on our of having assayed the gold stating the erms of carats) and the weight of the gold

Takeover is permitted only for known after proper due diligence and ensuring the s of the takeover reasons. s permitted only from Banks and reputed

hould only be in the name of the customer n the pledge token of the other lender. rnaments cannot be added to the lot as per the n, for getting higher amount. over and release of some items from the lot nsuring the availability of funds with the close the entire loan with the other lender. d be taken from the safe or funds to be to the other lender/ customer’s Bank for the account, only after customer creation, quest entry, uploading of the pledge tokens pproval in the Lcode software. The accounts ked only in the takeover schemes. from Head-Credit & Risk to be obtained for akeovers above Rs. 2 Lakhs by sending the e pledge tokens by email.

very Pledge packet, before being taken to the has to be recorded properly in the Gold Stock the BM and joint custodian. number of packets should be noted in the

tock Register is to be kept under the custody the entry is to be made every time the gold

Page 7 of 11

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15

Release of Jewellery

packets are number whic in the registe Each and e register befo Joint Custod it. It is the duty the items in s is easy to loc be tallied wit / vault, at an kept in stron

•

When a cust the system h • The release the custome • Both custodi from vault af • BM should h getting the n documents. customers a portions (Item Delivery of orna • HO perm ornamen • Person m • Delivery repayme and on u • A letter o undertak responsib from the therein. • Where n form of in • Acknowle Letter of • The borr the ornam an ackno

Delivery of orna • Interest i be charg manner.

kept in the vault and taken out. The serial ch is printed on packet should be mentioned er against all packets every release must be recorded in Stock ore taking out from safe / vault. Custodian and dian have to verify and affix their signature on

of the Custodian and Joint Custodian to keep serial order in the Safe / vault in a manner that cate. The Balance in Gold Stock Register must th the Physical Stock of Gold kept in the Safe ny point of time. Gold stock register may be ng room/vault after office hours.

tomer come for release the release amount in has to be checked with the customer copy. amount has to be remitted in GL account of er. ians jointly, should take out the gold packet fter the GL account is closed. hand over the ornaments to the borrower after necessary acknowledgment in the applicable The gold items should be handed over to the and signatures to be obtained in the release m Received). aments to a third party. mission shall be obtained before release of nts to third party. must be properly identified. of ornaments to third party is made only after ent of loan in very exceptional circumstances undoubted authority of the borrower. of authority is to be obtained, containing the king by the borrower absolving the Bank from bility in the event of dispute or loss arising e delivery of ornaments to the party named

necessary, the undertaking also taken in the ndemnity bond. edgement of the third party is obtained on the Authority and as well as in the GL Register rower is advised separately of the delivery of ments to the third party and requested to send owledgement.

aments in case of deceased borrowers. in the account of the deceased borrower is to ged as per the contracted rate in the usual

Page 8 of 11

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If the leg outstand so by g ornamen productio and that refunded represen to this eff KYC form documen disclaime delivery o Ornamen of legal r formalitie of proper Stamped claimants swearing individua person(s The lette acknowle retained

Partial release

Partial withdrawa

Loss of Pledge

Branches must ticket issued to c loss of pledge tic • • • • • • 16

Audit

• •

Branch s ticket (Pr The Form Verify the Verify the Loss of releasing KYC and

Auditors will ve random the pur by Branches fo The Auditors s card for the con

gal heir(s) / near relatives wish to liquidate the ding in GL account, they are permitted to do giving them clear understanding that the nts will be delivered to the legal heirs only on on of legal representation in the proper way t the amount so deposited would not be d to them in case if they fail to obtain legal ntation in their favour. A letter of undertaking fect is obtained and kept on record. malities of all legal heirs / executants of the nts i.e., Indemnity, Affidavit, Letter of er etc., are fulfilled to avoid any wrongful of the ornaments / disputes at a later stage. nts are delivered to legal heirs on production representation or on completing the Bank’s es with regard to delivery of ornaments in lieu r legal representation. d letter of indemnity is executed by the s with two sureties (persons other than those g to the affidavits) who are considered ally good for the amount involved including the s) who repaid the advance. er of authority /Indemnity Bond and the edgement shall be filed in a separate file and in safe custody.

al of ornaments is not allowed.

e Ticket

collect the duly discharged original pledge customer at the time of closing. In the case of cket, the following procedure is to be followed

should collect the indemnity for loss of pledge rescribed format). m should be filled and signed by the customer. e customer signature with the records. e KYC with system. pledge ticket along with authorization for g to third party is not permitted. d Signature of the witness are also required.

erify the entire quantity/weight and also at rity of the gold ornaments per packet accepted or pledge. should carry the Authorization Letter end ID nduct of Gold Audit. They are not empowered

Page 9 of 11

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17

Auction

•

•

•

•

• •

to open and e Letter and ID ca Auditors are e counting the p Custodian Gold Loan au camera. Before Starting should be coun issued by gol packets, it sho register or Gold out details and During Gold accompanied b

Prior to issuanc days’ notice by shall be sent to Company to di he/she fails to e The auction s advertisements vernacular lan newspaper. Lulu Financial S related entities in the auction relationship in a borrower, if he process compl Company/Aucti The proceeds o incidental char outstanding. T any after such including legal customer. GST Gold pledged approved by th The auction sha taluka in which located. Howev branches in a d district, subject (i)The first a (ii) The Com of the exta reserve pric are met.

examine the packets without Authorization ard. empowered to conduct Physical audit by packets in front of the custodian and Joint

udit should be always done under CCTV

g Gold verification, Entire gold loan stock nted, and confirmation certificate should be ld Audit staff. Before opening gold loan ould be updated in a gold audit verification d Stock Register (Packet taken in and taken d sign by Audit staff and joint custodian). Verification Joint custodian should be by audit staff.

ce of final auction notice to the borrower, a 30 y registered post with acknowledgement due o the borrower intimating the intention of the ispose of the gold by way of auction in case either close or regularize the loan account. shall be announced to the public through s published in at least 2 newspapers, one in nguage and another in a national daily

Services or its Group Companies and its other shall not participate or take part as a bidder n to ensure that there is an arm’s length all transactions during an auction process. The e/she chooses, can participate in the auction lying with the conditions stipulated by the ioneer. of auction, net of auction related expenses and rge shall be appropriated towards the loan The Company may decide to recover shortfall if h appropriation by resorting to various steps action. Excess if any shall be refunded to the T as applicable will also be recovered. shall be auctioned only through auctioneers he Board all normally be conducted in the same town or h the branch that has extended the loan is ver, we may pool gold jewellery from different district and auction it at any location within the to meeting the following conditions: auction has failed. mpany shall ensure that all other requirements ant directions regarding auction (prior notice, ce, arms-length relationship, disclosures, etc.)

Page 10 of 11

•

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While auctionin price for the pl pledged ornam previous 30-da declared by the value of the jew proportionately We will provide and the outstan above the loan

15 Commandment

1. Disbursing more than two gold loans per c 2. Disbursing more than five gold loans to a s HO permission. 3. Delegation to sanction gold loans to a par L only. This limit is not for a single instan pledge (total gold loan exposure per clien will come soon). 4. Gold ornaments below 2 grams cannot be A single ornament more than 40 grams permission. 5. Ornaments with similar design and shape accepted for pledge only with HO permiss 6. Sacred Thali should not be accepted for printed copy of the Negative list shall be k 7. PAN Card is mandatory while accepting p also compulsory in such cases. 8. Printed copy of the customer declaration cu duly signed by the customers in case of al 9. Ownership verification certificate should b along with other documents in cases whe pledge including the new pledge). 10. The electronic weighing machine should b 11. The Nitric Acid kept for gold testing sha containing the acid should display the date 12. A 10X Magnifying lens should be kept in closely (like the hallmarking). 13. The touch stone used for gold testing sho 14. A photocopy of the KYC documents shall b self-attested by the customer and with OS Branch Officials. In all physical copies o Number except last for digits should be m 15. Gold movement to and outside the safe should be properly documented in the gold The above are only a few important points and n for further details.

ng the gold the company will declare a reserve ledged ornaments. The reserve price for the ments shall not be less than 85 per cent of the ay average closing price of 22 carat gold as e Bombay Bullion Association Ltd. (BBA) and wellery of lower purity in terms of carats shall be y reduced. e full details of the value fetched in the auction nding dues adjusted and any amount over and outstanding shall be payable to the borrower.

ts for Gold Loans

customer per day requires HO permission. single customer during a calendar month requires

rticular customer by the BIC is limited to Rs. 5.00 nce but the total outstanding including proposed nt). (System check is at present not available but

accepted for pledge (even with other ornaments). s should be accepted for pledge only with HO

(similar bangles) more than 8 in number shall be sion. pledge (Please refer the negative list in SOP-A kept in the Gold Loan Counter.). pledge for Rs. 5 L and above. Field verification is

um undertaking in Malayalam should be obtained ll pledges. be signed by the BIC/Appraising official and kept ere the gold ornaments exceed 20 grams (Total

be sample checked every day. all be replaced every three months. The bottle e of purchase. n the branch for observing the gold ornaments

ould be cleaned periodically. be obtained and filed along with other documents, SV (Original Seen and Verified) certification by the of Aadhar Card kept in the Branch the Aadhar masked using a sketch pen. should be done jointly by joint custodians and ld stock register. not exhaustive. Please refer the Gold Loan SOP

Page 11 of 11

Lulu Financial Se Registered Office: Y LANE ROAD, VAZHA Ernakulam

PRODUCT D

PERSONA

(Lulu Perso

Approver

MD & CE

Version

1.0

Policy Owner

Head- C

Review frequency

Annual

Revision History and Approvals

Revision No.

Issue Da

V.1.0

01.01.20

ervices (India) Private Ltd - TOWER, 12/971 - B CIVIL AKKALA, KAKKANAD KOCHI m Kerala 682030.

DOCUMENT

AL LOANS

onal Power)

EO

Credit & Risk

ate

022

PRODUCT DOCUMENT: PERSONAL

Persona

(Lulu Perso Product Segment Product Type Product Code Product Scheme

1

Features

Description

The Product

Personal Loans a financial needs of are not coming un marriage-related household items unexpected med acquiring propertie

Loans will be gran is satisfied about and repayment ca Schemes: 1. Personal loan

2. Personal Loan

3. PL-Balance Tr

4. PL-Top up loa 2

Target Segment

a) A) Salaried Emplo •

Private sec

•

Public sec

•

Govt. Emp

b) B) Self Employed •

Entreprene

•

CA/CS/ICW

c) C) Persons having •

Rental Inc

D) Employees of L

L LOANS (LULU PERSONAL POWER)

al Loans

onal Power) Retail Loan Personal Loans 5 5001-5004

are intended to help meet any urgent personal f Individuals (Applicants other than individuals nder this product) such as renovating home, expenses, children’s education, purchasing s, gadgets, or home appliances, meeting dical expenses or any other emergencies, es, etc.

nted to individuals only after the Lulu Finserv the credit worthiness, integrity, local standing apacity of each borrower. – EMI.

ns to Employees of LFS & Group Companies.

ransfer

ans

oyees/ Professional.

ctor employees

ctor employees

ployees. personal/ Professionals.

eurs

WAI/CMA/CFP/CH.E.

g regular source of income.

come/ Pension Income

LFS & Group Companies

2|Page

PRODUCT DOCUMENT: PERSONAL 3

Eligibility

• • • •

• • • • • •

•

Should be a C Minimum Age is 60 Years for 58 for Govt. an Co applicant is This policy app regular / perm completed tw rank and posit The total dedu instalment of (FOIR)of the n Advance taken which is not e excluded from The track shou be considered Minimum Net Maximum Loa Minimum mon of pensioners Self-employed

4.

Loan Amount

Minimum Rs. 300

5

Margin

NIL

6

Loan Tenor

Minimum 12 mont

7

Repayment

The repayment of the fixed tenure holidays. •

Autopay: Can autopay for yo

•

Standing Ins using NACH m

•

Online Trans using NEFT, R

•

Draft/ Cheque or post-dated

8

Security

Unsecured

9

Co-Applicant/

Co-applicant M Member/Co-worke

Guarantor 10

Rate of Interest

To be decided by

Interest type: Fixe 11

Processing Fee

2% + GST (Minim

12

Other Charges

• •

Late Payment defaulted amo Pre-closure ch

L LOANS (LULU PERSONAL POWER)

Citizen of India. e 21. Maximum Age at the time of application r Private sector employees / Professionals and nd Public sector undertakings. s not mandatory for all loans. plies to all full-time employees who are on the manent rolls of the Company who have wo years unblemished service regardless of tion. uctions from the monthly salary including the the loan availed shall not exceed 60% net take home salary. n from the company as part of salary advance exceeding for a period of six months can be m calculating the FOIR. uld be clean and No DPD above 30+ shall not d for granting loan under this product. Monthly salary should be of Rs.15000/-. an to be restricted to 5 times of Net Salary. nthly pension should be Rs. 20000 in the case

d-Minimum 2-year vintage

000/- Maximum to be decided periodically

ths; Maximum 60 Months.

f Personal Loan-EMI should be equal EMI of at the time of agreement. No repayment

n make use of internet banking to set up our EMI payments.

structions: Can set up standing instructions mandate.

sfer: EMI payments can also be made online RTGS, IMPS payments.

e: EMI payments can also be made via drafts cheque.

Mandatory for all loans.Spouse/Family er can be a co-applicant/Guarantor the Committee

ed

mum Rs. 300/-)

t fee: 2% month (24% per annum) for the ount for the defaulted period. harges: 4% of principal outstanding 3|Page

PRODUCT DOCUMENT: PERSONAL • • 13

Disbursement

Penalty for che Change of Ban

Disbursement to t of application. No account.

It is not mandatory account. Can dis applicant. 14

Pre-sanction inspection

Field visit require mentioned in Aad

15

Insurance

CLI shall be insist

16

Pre-sanction documents

•

Loan applicati

•

KYC documen

•

Copy of ID car

•

Professional m Certificate. Identity Proof Voter’s ID/ Pa Address Pro Statement/ Le (not more than

• •

Income documen •

Salaried - Late statement for certificate

•

Self Employe minimum 6 m account state Business Pr Registration a Certificate of P

•

In the case o Card, and B pension credit

17

Loan • Documentation•

Loan agreement, 3 Security cheque

18

Delegation sanction

To be decided per

19

General guidelines

for •

Customer can through the L submitting a d necessary doc

•

Cibil Report/E generated in a

L LOANS (LULU PERSONAL POWER)

eque/NACH bounce: Rs. 500+ GST nk Account: Rs. 400 + GST

the Customer bank account given at the time o disbursement is allowed to third party bank

y to disburse the amount to the salary credited sburse to any bank account in the name of

ed if applicant not staying in the address dhar or staying in a rented house.

ted

ion

nts (AADHAAR mandatory)

rd issued by Employer.

membership Proof (ID Card or Membership

of: Aadhaar Card/ PAN Card/ Driving License/ assport oof: Aadhaar Card/ Passport/ Bank Account ease/ Property purchase Agreement/ Utility Bill n 3 months old)/ Driving License

nts:

est form 16, 3 months' pay slip/ Bank account 6 months into which salary credited, Salary

ed/Non-Salaried- Last 2 years ITR (with months gap between 2 filings), 6 months ement with a monthly credit of Rs. 15K,. roof (for self-employed applicants): GST and Filing Documents/ Partnership Deed/ Practice/ MOA & AOA/ Shop Act License.

of pensioners: Pension Book, Pensioner’s ID Bank account statement showing monthly t.

DPN es- and NACH

riodically

n either apply for a personal loan online LFS website or visiting our branch office by duly-filled loan application form along with the cuments.

Equifax Report/CRIF Highmark reports to be all cases. (Any One)-Minimum Cibil Score 650.

4|Page

PRODUCT DOCUMENT: PERSONAL •

•

Repayment c Method by tak FOIR 60% to b

20

Deviation

Age deviation, M Vintage, Cibil Sco within the delegat

21

Balance Transfer

Personal loan ba principal outstand is transferred to parameters

22

Personal Loan Top up

Top up of person of the overall nor

L LOANS (LULU PERSONAL POWER)

capacity to be calculated using the FOIR king into the monthly obligations. Maximum be insisted.

Minimum Income Criterion, Service/ Business ore Deviation, and waiver of insurance shall be tion of Head-Credit & Risk.

alance transfer is the process by which the ding of an existing loan with another lender o us. This is permitted within the above

nal loan is permitted subject to compliance rms of the scheme.

5|Page

Lulu Financial Se Registered Office: Y LANE ROAD, VAZHA Ernakulam

PRODUCT D

BUSINESS / M

Approver

MD & CE

Version

1.0

Policy Owner

Head- C

Review frequency

Annual

Revision History and Approvals

Revision No.

Issue Da

V.1.0

01.01.20

ervices (India) Private Ltd - TOWER, 12/971 - B CIVIL AKKALA, KAKKANAD KOCHI m Kerala 682030.

DOCUMENT

MSME LOANS

EO

Credit & Risk

ate

022

PRODUCT DOCUMENT: B

Business/M Product Segment Product Type Product Code Product Scheme

1

Features

Description

The Product

Business Loans Renovation/Stock upgradation of bu be availed by Indi Private and Pub Partnerships, Tru parameters presc

MSME loans are activities and serv the MSME definiti

Lulu Finserv wo applicant, approve hypothecation lie security. Collatera product norms.

This Product doc operating aspect (Secured and Un (KYC) Standards Investigation etc. 2

Target Segment

Those who inten business, and ad income with the he customers will be sector engaged in the following segm • • • • • • • •

Individuals Proprietary Fir Partnership Fi Private and Pu Limited Liabilit Trusts and So Any other enti New and exis profitable

BUSINESS/MSME LOANS)

MSME Loans MSME Loans Business/MSME Loans 6 6001 to 6006

are instalment loans for the purchase/ k Addition/Asset Purchase for the purpose of usiness to the next level. A Business loan can ividuals, Sole Proprietors, Partnership Firms, blic Limited Companies, Limited Liability usts and Societies and who satisfy the credit cribed by Lulu Finserv.

e instalment loans given for manufacturing vice Enterprises in the MSME segment as per ion in the MSMED Act

ould assess the credit worthiness of the e, and disburse the Unsecured loan or mark a en on the Stocks, Receivables, Assets as al of property will be insisted based on the

cument describes the credit parameters and ts for Business Loans and MSME Loans nsecured), ensuring Know Your Customer s and the Process of Valuation, Field

nd for Renovation, Expansion of existing ddition of stock. Those who are generating elp of newly purchased assets etc. The target Business enterprises belonging to the priority n manufacturing, trading and services under ments.

rms irms ublic Limited Companies ty Partnerships ocieties ities considered safe and credit worthy. sting business enterprises that are viable and

2|Page

PRODUCT DOCUMENT: B 3

Definition MSME

of (i) A micro enterp plant and machin and turnover does

(ii) A small enterp plant and machine and turnover does

(iii) A medium ent in plant and machi and turnover does

4

Eligibility

All enterprises a Registration Porta • Individuals/ Companies o manufacturing under the sche • New or existin • Net worth of th • Take over loa considering ta assess the via • Borrowers en Banks/FIs ca However, it sh financed. • Businesses fili • Individuals- M loan tenor sha • Others: Minim • Turnover and two years.

Specific exclusio • • •

• •

•

Real Estate Jewellery Capital Marke Activities of sp Bar & Restaur Rented reside

5

Loan Amount

Minimum Rs. 200

6

Loan Tenor

Minimum 6 month

7

LTV/Margin

• •

It is the ratio o of product/Ass LTV (Applicab maximum of change beyon require approv

BUSINESS/MSME LOANS)

prise is an enterprise where the investment in nery or equipment does not exceed ₹1 crore s not exceed ₹5 crore;

prise is an enterprise where the investment in ery or equipment does not exceed ₹10 crore s not exceed ₹50 crore; and

terprise is an enterprise where the investment inery or equipment does not exceed ₹50 crore s not exceed ₹250 crore.

are required to register online on Udyam al and obtain ‘Udyam Registration Certificate’. Self-employed professionals [Firms / or any other legal entity engaged in g / Service Trading are eligible to be financed eme. ng units can be considered under the scheme. he borrower/s shall be positive ans are permitted under the scheme. While ake over loans’ utmost care shall be taken to ability/past performance of the business unit. njoying other credit facilities with other an also be covered under the scheme. hall be ensured that same asset is not already

ing GST returns shall be most preferred Minimum Age 24. Maximum Age at the end of all not exceed 70 Years. mum 2-year Business vintage profit should have a positive trend for the past

ons:

et peculative nature. rant ence cum office profiles.

000/- Maximum to be decided periodically

hs; Maximum 60 Months.

of maximum amount of loan to the value /cost set to be purchased. ble in case of Equipment/Asset Purchase) at a 90% depending upon asset category. Any nd the limits specified from the above would val from Credit& Risk Head.

3|Page

PRODUCT DOCUMENT: B •

8

Repayment

LTV in Mortga property and 6 development p The repayment s (weekly/Monthly/Q

Repayment Capa

FOIR shall not exc

Or DSCR shall be

9

Security

•

Autopay: Can autopay for yo

•

Standing Ins using NACH m

•

Online Trans using NEFT, R

•

Draft/ Cheque or post-dated

Business Loan-S Stock additions/Bu of LFS to be endo

In Case of loans w of LFS (LTV der authorised extern provided by the ap

10

Co-Applicant/ Guarantor

Business Loan-Un Co-applicant Man in the name of in Spouse/Family Me

Personal guarant major Directors in

Owner of property

Deviation authorit 11

Rate of Interest

To be decided by

Interest type: Fixe 12

Processing Fee

4% + GST (Minim

13

Other Charges

• • • • •

14

Disbursement

Late Payment defaulted amo Pre-closure ch Prepayment c Penalty for che Change of Ban

Disbursement to t of application or d

BUSINESS/MSME LOANS)

age loans at a maximum of 50% in Vacant land 60% maximum in Commercial Property / under property and 75% for house property shall be in equated periodical instalments Quarterly)

acity

ceed 60%.

e minimum 1.25%

n make use of internet banking to set up our EMI payments.

structions: Can set up standing instructions mandate.

sfer: EMI payments can also be made online RTGS, IMPS payments.

e: EMI payments can also be made via drafts cheque.

Secured- (For the Purpose of Asset Purchase/ usiness Renovation)- Hypothecation in favour orsed.

with collateral: EM should be created in favour rived based on the valuation done by the nal valuation expert on land and buildings pplicant.)

nsecured-No Hypothecation ndatory for all types of Business/MSME loans ndividuals and sole proprietorship concerns. ember can be a co-applicant/Guarantor.

tee of all partners in partnership firms and n the case of companies.

y shall invariably join as co-applicant.

ty – Head-Credit &Risk the Committee

ed

mum Rs. 400/-)

t fee: 2% month (24% per annum) for the ount for the defaulted period. harges: 5% of principal outstanding charge- 5% of amount prepaid. eque/NACH bounce: Rs. 500+ GST nk Account: Rs. 500 + GST

the Customer bank account given at the time direct payment to the supplier.

4|Page

PRODUCT DOCUMENT: B 15

Insurance

• • •

16

Credit Bureau

17

Tele Verification

18

Field Investigation

Residence stability 19

Credit shield Applicant. Assets create clause

Credit bureau contract even • Minimum Cibi below this-dev • Never 60+ DP • Not more than • No written off • Commercial C • CRIF Highmar • TVR is a must positive • TVR to be don • If Negative cas • Field verificati officers. • Selfie photo o residence pho • Selfie photo another 8 pho establishment (Banks/Templ Individuals wh • Residence Fie applications. • Field Investiga Process: • The Field In designated ve • FI Report sho and guaranto scrutinised by income source the customer. • A field investig the applicant, c guarantor if an • If at any point staying separa residence veri as well. • A selfie photo should be take establishment • Minimum 6 M Credit & Risk H • Minimum 12 Deviation Cred

BUSINESS/MSME LOANS) insurance to be taken in the name of the

ed out of the finance to be insured with Bank

u checking is a must for all parties to the if additional party is included. il score should be 650 and above. Anything viation authority is Credit & Risk Head. PD in loans and 90+ DPD in credit cards n one 30+ DPD in last 12 months & Suit filed cases. Cibil to be checked for all entities. rk Score to be checked in appropriate cases. t for all cases and should be satisfactory and

ne by Branch Head/Designated Employee. se will not be considered. ion should be done by designated verifying

of residence is a must along with another oto. Shop/Business Establishment along with otos showing all sides of the Shop/Business t. Nearest shops, Landmarks le/Govt Offices/Schools)- Not applicable for ho purchase Equipment/Machines. eld verification is mandatory for all cases of

ation must be done for all cases.

nvestigation report is to be prepared by erifying officers/Branch Heads ould contain details of applicant, co applicant or if any and report should be properly y verifying officers with regard to residence, e and their stability and also living standard of

gation report should contain all details about co-applicant, source of income also that of the ny t of time guarantor is not a blood relation and ately from applicant residence, in such cases ification should be done of guarantor’s house

o of residence or office with additional photo en along with other photos of Shop/Business t. Month in case of owned House-Deviation – Head months stability in case of rented house dit & Risk Head

5|Page

PRODUCT DOCUMENT: B • •

20

21

• GST Conduct & • Account conduct •

If current resid LTR is mand spouse owne deviation requ 6 months Ban Not more than Minimum reve months Documenta

Document

Loan Application f all details, photog Co-applicant & Gu Branch Manager/B

Mother’s name o must be mentione

Separate Mobile Applicant and G Application Form. Application Form a

b

c

The following are t prior to login • • •

Agreement Property Document (For Mortgagebacked loans)

KYC docum Application FI verificat verifying o • Financials, Latest LTR • 6 months l • Property d Duly filled and sig • Title deed • Prior deed • Latest land tax • Encumbrance • Possession ce • Location sketc

BUSINESS/MSME LOANS)

dence is owned-No minimum stability norm datory for all cases (self-owned, parental, ed, Co applicant/Guarantor owned.) Any uire approval from Credit & Risk Head nk statement to be verified. n 3 cheque returns during 6 months. enue as per GST should be Rs. 25 L in 12

ation Norms

Requirement form/CKYC Application form duly filled in with graph and signature separately for Applicant, uarantor(s) (To be verified and signed by the Branch In-charge).

of Applicant, Co-Applicant and Guarantor(s) ed in respective Loan Applications without fail.

number in the name of Applicant, CoGuarantor/s should be mentioned in the .

the list of documents that should be collected

ments n form tion report including Valuation report by officers , ITR, GST Payslips, Bank statement etc, R latest banking transactions documents copy (in case of mortgage loan) gned Agreement Kit.

x receipt e certificate ertificate ch.

6|Page

PRODUCT DOCUMENT: B

The loan approv Mortgage asset p clearly mentioned following data sho • Area (In ARE) • Location of the • Valuation done • Legal verificat

Mortgage property

The Creation of M from the login of of loan amount. 1. Financial appr the basis of as the applicant’s 2. Verification of approval, The Advisor for tak 3. Valuation Rep 4. Mortgage crea disbursement to disburseme • • •

Completed an NACH manda mandate. EMI cheques c using Debit ca

For the operationa are specified and EMI Cheques / NACH d

• • • • •

e

Photograph & KYC Documents

• •

The Applicant of the conveni The repaymen it would upset Branch/Field S choice of the instalment due The Borrower clearly told ab fixed for arran For the numbe interest shall b Photograph on Copy of valid self-attested b and verified w remarks “Verif

BUSINESS/MSME LOANS)

ved against the collateral security of any provided by the borrower, the same must be d in the CAM by the approval authority. The ould capture in the CAM ) of the property e property e by the authorised person. tion of all mandatory documents.

Mortgage follows the steps mentioned below documents for appraisal to Disbursement of

roval (The approving authority’s approval on ssessing the documents provided for checking s repayment capacity) Documents (if the applicant gets the financial documents should be submitted to the Legal king the Legal report) port. ation (The mortgage should be created before and the documents should be collected prior ent).

nd signed EMI Cheques (3-5 Nos) ate – (2 Nos) including one Security NACH

can be excluded if the mandate registered by ard/Net banking.

al convenience Repayment/Collection dates pre-fixed.

t/Borrower has the liberty to choose any one ient date as Repayment/Collection due date. nt due date once opted cannot be altered as the entire accounting system. Staff sourcing business should first obtain the e borrower and then fix the Periodical e date. r, Co-borrower & Guarantor(s) should be bout the first Periodical instalment due date nging funds accordingly. er of days in excess of 30 days, broken period be recovered along with the first instalment. n the Application/KYC Form required. ID proof with photograph and Address proof by the Applicant, Co-applicant & Guarantor(s) with original by the Branch Manager with fied with Original”.

7|Page

PRODUCT DOCUMENT: B

f

g

Income Proof Documents Valid income proof prescribed for individuals (salaried/busine ss) / partnership firm/proprietary concerns/Comp anies/Trusts etc

Residence Proof (Self Attested Photocopy)

h

Statutory Licence

i

Identity Proof (Self attested photocopy)

Signature Verification

j

Proprietary Firm Ltd/Public Limited • Last 6 months • Last 3 Assess • Last 3 Financi • Financial state Year based on • Last 6 months

Any one of the fo • Passport • Aadhar Card • Ration Card • Telephone Bill • Electricity Bill • LPG Connecti • Municipal Wat • Post-Paid Cell • Driving Licenc • Credit Card Bi • Lease Deed (f • Printed Insura • Bank Passboo • Ownership pro • GST Registrat • Udyog Aadhar • Registration ce • Registration c approved bodi • License from L • All the require Any one of the fo • Passport • Aadhar Card • PAN Card • Voter’s ID Car • Driving Licenc • Bank Passboo • Employment ID national Com Companies / G Any one of the fo a) For Self-emplo Limited Comp • Passport • Banker’s verifi • PAN Card • Income-Tax individuals) • ID Card from G

BUSINESS/MSME LOANS)

ms/Partnership Firms/LLP/Private Limited d Company. s GSTR sment Year Income Tax Return ial year Annual Report ements projection for the nearest Financial n the performance of past year. s bank statement.

ollowing:

l

ion proof ter Bill l phone Bill ce ill for salaried segment only) ance Premium Receipt ok with full address oof in form of Sale Deed / Power of Attorney tion certificate r ertificate from statutory bodies certificate/ Membership ID issued by govt ies and organisations. Local Body ed license from regulatory bodies ollowing:

rd ce ok with photo attested by Banker D Card (applicable to those working in Multimpanies/Public Sector Units/Public Limited Government Companies). ollowing: oyed Individuals/Partnership Firms/Private panies

ication Return (for salaried & self- employed

Government and Public Limited Companies

8|Page

PRODUCT DOCUMENT: B

k

l

m

n

o

22 23

24

ID Proof and Address Proof for Limited Companies

Down Payment Receipt

b) For Limited Co • Banker’s verifi • Copy of Board of persons aut • Signature atte Anyone of the fo • Memorandum • Certificate of I • Annual Report including finan Company. • Down Payme (pre-disbursem • Down Payme stamped recei Down paymen purchase. • Detailed FI Re available.

Field Investigation (FI) Report Partnership • Deed / • Memorandum & Articles of Association Authority Letter signed by all the • Partners / Board Resolution Delegation sanction Deviation

Instructions to Branches

Mandatory in c Mandatory in c

For Partnershi

for

To be decided p •

Age deviation, C shall be within th

a) Forward sca Corporate O b) Sanction / re Department, immediately Office

BUSINESS/MSME LOANS)

ompanies ication d authorisation giving names and signatures thorised to sign, estations as part of Board Resolution. ollowing: m and Articles of Association Incorporation t mentioning the full address of the Company, ncial statements signed by the officer of the

ent confirmation from Manufacturer/Dealer ment) should be in place. ent confirmation either by Mail or by the ipt copy or by through the proforma invoice. nt receipt is only for those cases of New asset

eport in the prescribed format should be

case of Firms case of Companies

ip Firms and Companies.

periodically

Cibil Score Deviation, and waiver of insurance he delegation of Head-Credit & Risk.

anned copies of the required documents to Office for processing. ejection of loan as communicated by Credit , should be intimated to the applicants on getting such information from Corporate

9|Page

Lulu Financial Se Registered Office: Y LANE ROAD, VAZHA Ernakulam

STANDARD OPERATIN

LULU CONSUMER Approver

MD & CE

Version

1.0

Policy Owner

Head- C

Review frequency

As and w

Revision History and Approvals Revision No.

Issue Da

V.1.0

09/01/20

ervices (India) Private Ltd - TOWER, 12/971 - B CIVIL AKKALA, KAKKANAD KOCHI m Kerala 682030.

NG PROCEDURE (SOP)

R DURABLE LOAN

EO

Credit & Risk

when required.

ate

023

PRODUCT DOCUMENT: LULU

Lulu Consumer Product Segment

Retail Loan

Product Type

Consumer Fina

Product Code

2

Product Schemes

2001-Consumer

2002-Consumer

1

Features

Description

The Product

A Consumer Dura finance their purc products includes TVs, refrigerator microwaves, hom Lifestyle Products

By obtaining a Co these products a convenient period 2

Target Segment

• • •

3

Eligibility

Salaried employe • • • •

Aspiring Middl New to Credit Lulu Group Em

Age: 21- 65 ye Minimum Gros Vintage of at le Cibil score -1 o

4.

Loan Amount

Minimum Rs. 100

5

Margin

10% of the invoice

6

Loan Tenor

Minimum 6 month

7

Repayment

Monthly Instalmen

8

Security

•

Autopay: Can autopay for yo

•

Standing Ins using NACH m

•

Online Trans using NEFT, R

•

Draft/ Cheque or post-dated

Hypothecation of

U CONSUMER DURABLE LOAN

r Durable Loan

ance

r Durable Loan-General (Salaried)

r Durable Loan- Lulu Group Employees.

able Loan is an option that helps customers to chase of consumer durables. This class of s household appliances or electronics such as rs, air conditioners, washing machines, me theatres, laptops, Wellness equipment, s etc.

onsumer Durable Loan a customer can buy and repay the cost of the purchase over a d ranging from 6 months to 30 months.

le Class Segment mployees

ees/Pensioners

ears on loan maturity. ss Monthly Income Rs. 15000/east 2 years with the current employer. or above 650.

000/- Maximum Rs 2,00,000/-

e value.

hs; Maximum 30 Months

nt. No repayment holidays.

n make use of internet banking to set up our EMI payments.

structions: Can set up standing instructions mandate.

sfer: EMI payments can also be made online RTGS, IMPS payments.

e: EMI payments can also be made via drafts cheque. the assets acquired out of the finance

2|Page

PRODUCT DOCUMENT: LULU 9

Co-Applicant

Co-applicant Man

For Lulu Group C for Rs. 50000/ and

Spouse/Family Me 10

Rate of Interest

16% for public (sc

15% for Lulu grou 11

Processing Fee

Rs. 2% + GST

12

Other Charges

• • •

Late Payment the defaulted a Pre-closure ch Penalty for che

13

Disbursement

Direct to the supp

14

Pre-sanction inspection

Field visit require mentioned in Aad

15

Pre-sanction documents

• • •

•

Loan applicati Identity Proof Voter’s ID/ Pa Address Pro Statement/ Le (not more than

Estimate / Pe

Income documen •

Salaried - Late statement for certificate

•

Pensionersevidencing the

16

Loan Documentation

• • • •

Terms & Cond DPN/Security 3 Security che Original invoic

17

General guidelines

•

Repayment c Method by tak FOIR 60% to b

•

For Lulu Grou letter from the

U CONSUMER DURABLE LOAN

ndatory for all loans to public.

Company Employees co-applicant mandatory d above.

ember/Co-worker can be a co-applicant.

cheme code 2001)

up company employees. (Scheme code 2002)

t fee: 2.00% per month (24% per annum) for amount for the defaulted period. harges: 4% of principal outstanding eque bounce/NACH Return: Rs. 300+ GST

plier/dealer by debit to the loan account.

ed if applicant not staying in the address dhar or staying in a rented house.

ion of: Aadhaar Card/ PAN Card/ Driving License/ assport oof: Aadhaar Card/ Passport/ Bank Account ease/ Property purchase Agreement/ Utility Bill n 3 months old)/ Driving License

erforma Invoice

nts:

est form 16, 3 months' pay slip/ Bank account 6 months into which salary credited, Salary

Pension book, Bank account statement e pension credited

ditions/undertaking in plain paper. Delivery letter. eques- and NACH Mandate ce/Bill (Post disbursement)

capacity to be calculated using the FOIR king into the monthly obligations. Maximum be insisted.

up Company employees, a recommendation e Employer is mandatory.

3|Page

INTER OFF From, Operations Department LuLu Financial Services (India) Pvt Ltd 7th Floor, Y Tower, Civil Lane Road, Padamughal, Kakkanad, Kerala

IOM No.20220210(OP Dept.)002

Sub: Maintenance of Regis

For an Organisation to function efficiently an requirements, it is essential to maintain certai all branches to maintain the following registe and files are listed below.

Sl. No Registers 1 Attendance Register/ Muster Rol 2 Cash Denomination Register 3 Cash in Transit Register 4 Cashiers Scroll 5 Customer Complaint Register 6 Visitors Register 7 Job Rotation Register 8 Key Register 9 Key Movement Register 10 Managers Scroll 11 Asset Stock Register 12 Nomination Register 13 Staff Movement Register 14 Stamp/ Dispatch Register 15 Vault Cash Register SL No. Files 1 Lease Agreement File 2 Staff Personal Files 3 Weighing Balance Stamping File 4 Auditors Report/Rectification fil 5 Daily Advance and Release Repo Branches are requested to comply with abov For any further clarifications, branc at Phone No. +91 9048558786 or Mail ID: va

VARGHESE T.A HEAD OF OPERATIONS

FICE MEMO To, The Branch Manager, Branch In Charge, Staffs, Department Heads.

Date: 12/02/2022

sters and Files at Branches

nd adhere to the statutory and regulatory in records and registers. Hence it is directed that, ers and files mandatorily. The name of registers

ll

e le ort File ve the instructions immediately. ches can contact Operations [email protected]

Department

INTER OFFI From, Head Office LuLu Financial Services (India) Pvt Ltd 7th Floor, Y Tower, Civil Lane Road, Padamughal, Kakkanad, Kerala - 682037

T T B S

IOM No.20220228(H.O)004

Sub: MIS Reports

This is to inform and remind Branch Heads stakeholders/ Head of Departments (HODs) thro stakeholders/ HODs are mentioned below for branches. Sl. No 1 2 3 4 5 6 7

Name Surendran Amittathody Shibu Mohammed Varghese T. A Pathrose P. P Ankit Sharma Sooraj Sureshbabu Remya Ravindran

Desig MD & CEO AVP Head of Ope Head of Cred Accounts Ma Business Ana Credit Office

All branches should comply with above instructi receipt of this IOM by signing on the same [email protected] .

For any further clarifications, branches can con [email protected]

SHIBU MOHAMMED AVP – LULU FINSERV

ICE MEMO

To, The Branch Manager, Branch In Charge, Staffs, Department Heads.

Date: 28/02/2022

s from Branches

to send the daily MIS or reports to concerned ough email without fail. The name and email IDs of sending Daily MIS Reports/ Activity Reports by

gnation

erations dit anager alyst er

Email ID [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected]

ions from 28th February 2022 and acknowledge the by all branch staffs and send the scan copy to

ntact at Phone No. +91 90485 78 786 or Mail ID:

INTER OFFI From, Compliance Officer LuLu Financial Services (India) Pvt Ltd 7th Floor, Y Tower, Civil Lane Road, Padamughal, Kakkanad, Kerala - 682037

T T B S

IOM No.20220324(CO)005

Sub: Update of Daily EOD

Introducing a Daily EOD Checklist for branc operational policies and instructions by branch s (BICs) are instructed to update and send Daily further instructions. The Daily EOD Checklist h a.) Annexure 1 for M. G Road, Thrissur Branch b.) Annexure 2 for Manacaud, Thiruvananthapu

The Daily EOD Checklist has to be sent to conc through email along with the daily MIS. The mentioned below for sending updated Daily EO Sl. No 1 2 3 4 5 6 7

Name Surendran Amittathody Shibu Mohammed Varghese T. A Pathrose P. P Ankit Sharma Sooraj Sureshbabu Remya Ravindran

Desig MD & CEO AVP Head of Ope Head of Cred Accounts Ma Business Ana Credit Office

All branches should comply with above instruc the receipt of this IOM by signing on the sam [email protected] or ravindran.k@lulu

For any further clarifications, branches can con 12786 or Mail ID: [email protected] or

RAVINDRAN. K COMPLIANCE OFFICER

ICE MEMO

To, The Branch Manager, Branch In Charge, Staffs, Department Heads.

Date: 24/03/2022

D Checklist by Branches

ches to ensure compliance of our internal daily staffs. Hereby all Branch Heads/ Branch in Charges y EOD Checklist to Head Office without fail until has been enclosed as Annexures as shown below; h [BR Code 02] uram Branch [Br Code 04]

cerned stakeholders/ Head of Departments (HODs) name and email IDs of stakeholders/ HODs are OD Checklist by branches.

gnation

erations dit anager alyst er

Email ID [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected]

ctions from 25th February 2022 zand acknowledge me by all branch staffs and send the scan copy to ufinserv.com .

ntact at Phone No. +91 90485 78786; +91 97450 r [email protected].

Annexure

DAILY EOD C

M. G Road Bra Month: _____________ Sl. No 1 2 3 4 5

6

7 8

9

10 11 12 13

14 15

16

17

Date: __/__/___

Activities Whether Gold Loan Per-gram rate displayed for the day? Whether weighing machine is sample-checked? Whether Muster Roll is up to date? Whether any of the staff was on leave today Whether any authorization/ delegation of powers effected due to leave/absence. Whether locker key handed over and updated in key movement register? Whether all registers/ files updated? Whether cash balance in locker tallied with system balance (with denominations)? Whether there was any break down of web camera/ computers/ printer/ or power outage during the day? Any Loan Takeover during the day? Any Loan closed/ pledge released today? Any Loan Enhanced/ Renewed during the day? Whether indemnity letter have been obtained and necessary fee collected for issue of duplicate pledge form to customers? Whether any cash payment done to customer above Rs. 20,000/-? Whether bank transfers have been made during the disbursement of loans as per the RBI instructions? Whether the cash scroll has been correctly done and authenticated by the Branch Head? Whether all the pledge release/ loan closure documents have been verified and approved?

1 to IOM No.20220324(CO)005 dated 24.03.2022

CHECKLIST

anch, Thrissur

__

Start: ________

End:________

Check

Remarks

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Yes

No

Yes

No

18

19 20

21

22 23

25

26

27

28 29

30 31

32

33

Whether loan/ pledge documents have been obtained, verified and approved while sanctioning takeover loans? Whether signature of the borrower affixed wherever necessary? Whether signature of the maker and checker/ approver affixed wherever necessary? Whether appraisal of gold ornaments done before pledging for Gold Loan? Whether the customer declaration in vernacular is obtained? Confirm whether the takeover procedure if any has been foolproof? Whether any irregularity identified in gold ornaments/ documentations during the day? Whether all payment/ receipt vouchers have been signed by the required signatories? Whether negative list in the SOP for gold loans was referred to while sanctioning gold loans? Whether revenue stamp, round stamp affixed wherever necessary? Whether CIBIL Report and Income Proof documents are obtained and filled properly? Whether field verification report is obtained in applicable cases? Whether system generated vouchers, original bills and other related documents and filed along with debit vouchers? Whether expenditure vouchers have been verified and approved by the competent authority? Whether copies of KYC documents attested by customer, verified and filed after masking (Aadhaar number)?

Signature & Name of Branch in Charge

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Annexure

DAILY EOD C

Manacaud, Thiruvan Month: _____________ Sl. No 1 2 3 4 5

6

7 8

9

10 11 12 13

14 15

16

17

Date: __/__/___

Activities Whether Gold Loan Per-gram rate displayed for the day? Whether weighing machine is sample-checked? Whether Muster Roll is up to date? Whether any of the staff was on leave today Whether any authorization/ delegation of powers effected due to leave/absence. Whether locker key handed over and updated in key movement register? Whether all registers/ files updated? Whether cash balance in locker tallied with system balance (with denominations)? Whether there was any break down of web camera/ computers/ printer/ or power outage during the day? Any Loan Takeover during the day? Any Loan closed/ pledge released today? Any Loan Enhanced/ Renewed during the day? Whether indemnity letter have been obtained and necessary fee collected for issue of duplicate pledge form to customers? Whether any cash payment done to customer above Rs. 20,000/-? Whether bank transfers have been made during the disbursement of loans as per the RBI instructions? Whether the cash scroll has been correctly done and authenticated by the Branch Head? Whether all the pledge release/ loan closure documents have been verified and approved?

2 to IOM No.20220324(CO)005 dated 24.03.2022

CHECKLIST

nanthapuram Branch

__

Start: ________

End:________

Check

Remarks

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Number

Yes

No

Yes

No

Yes

No

Page 1 of 2

18

19 20

21

22 23

25

26

27

28 29

30 31

32

33

Whether loan/ pledge documents have been obtained, verified and approved while sanctioning takeover loans? Whether signature of the borrower affixed wherever necessary? Whether signature of the maker and checker/ approver affixed wherever necessary? Whether appraisal of gold ornaments done before pledging for Gold Loan? Whether the customer declaration in vernacular is obtained? Confirm whether the takeover procedure if any has been foolproof? Whether any irregularity identified in gold ornaments/ documentations during the day? Whether all payment/ receipt vouchers have been signed by the required signatories? Whether negative list in the SOP for gold loans was referred to while sanctioning gold loans? Whether revenue stamp, round stamp affixed wherever necessary? Whether CIBIL Report and Income Proof documents are obtained and filled properly? Whether field verification report is obtained in applicable cases? Whether system generated vouchers, original bills and other related documents and filed along with debit vouchers? Whether expenditure vouchers have been verified and approved by the competent authority? Whether copies of KYC documents attested by customer, verified and filed after masking (Aadhaar number)?

Signature & Name of Branch in Charge

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Yes

No

Page 2 of 2

INTER OFFI From, Compliance Officer LuLu Financial Services (India) Pvt Ltd 7th Floor, Y Tower, Civil Lane Road, Padamughal, Kakkanad, Kerala - 682030

T T B S

IOM No.20220324(CO)006

Sub: Items not to be accepted as secu

This is to inform/ remind branches to accept t subject to following instructions;

A.) Items not to be accepted as security for loa • • • • • • • • • • • • • • • • • •

Melted bar / Primary gold (Coins, Ingot – sl upto 50 grams can be accepted as security. Jewellery of a Temple/Church or any religio Items specified by the Company in the negat Items where the borrower is unable to give a Items which are generally not permitted to b gold and gold coins. Kundan set Rudraksha mala &Thulasi mala Polla Thara chain Kasu mala without hall marking Muthu mala in which pearls are filled with w Bangles with full wax/lead inside Bangles with Lion's/Tiger's heads Gents’ bangles (Punjabi bangles or Kada) ab Lockets (if with filling inside) Full stoned items in which gold weight is les Gold items other than gold ornaments like go Knife, vessels, idols, etc. Thali

B.) The list of gold items/ornaments which ca • • • • • •

Baby Rings can be accepted along with a set a mandatory deduction of 0.5 gram from eac Baby bangles with weight of 4 grams and ab Karimani Chain can be accepted along with a be 50% deduction on net weight after reduci Gold Coins with hook acceptable along with Chain with Elas can be accepted along with a be actual deduction of fillings, stone and add The minimum eligibility for a pledge is 2 gm

ICE MEMO

To, The Branch Manager, Branch In Charge, Staffs, Department Heads.

Date: 24/03/2022

urity for Gold Loan (Negative List)

the gold ornaments/ items for Gold Loan, strictly

an

lab, lump, block, bar etc). Gold coins issued by Banks

ous institutions. tive list updated from time to time. a satisfactory proof or declaration of ownership. be taken as security by RBI viz Gold Bullion, Primary

wax/ lead

bove 40 grams

ss than the stone weight. old pieces, gold plates, gold spoons, medals, etc.

an be accepted as pledge with conditions:

t of ornaments belonging to him/her but there should be ch baby ring bove should be treated as normal bangle a set of ornaments belonging to him/her but there should ing the wastages, etc. h a chain up to 4 lockets at a time set of ornaments belonging to him/her, but there should ditional 1 gram on each item as mandatory deductions m/Loan amount or INR 500 whichever is higher

All branches should comply with above instruc signing on the same by all branch staffs and se [email protected].

For any further clarifications, branches can con 12786 or Mail ID: [email protected] or

RAVINDRAN. K COMPLIANCE OFFICER

ctions and acknowledge the receipt of this IOM by end the scan copy to [email protected] &

ntact at Phone No. +91 90485 78786; +91 97450 r [email protected].

Lulu Financial Servic Registered Office: Y - TOWER, 12/971 - B CIV KOCHI Ernakulam

INTER OFFICE M From

To

Credit & Risk Department, LuLu Financial Services (India) Pvt Ltd 7th Floor, Y Tower, Civil Lane Road, Padamughal, Kakkanad, Kerala - 682037

Al Br Al

IOM No.20220718(CO)010

Reg: Customer ID creat Risk Categorization of Borrowers & O

Importan

✓ All the borrowers onboarded through th as Low Risk, Medium Risk & High Risk this memorandum. ✓ KYC Documents obtained (Aadhar Car ID creation shall be verified online th software. ✓ These guidelines come into force with im 1. Risk Categorization of Borrowers.

As per the RBI directives all NBFCs shall have a r the following: •

Customers shall be categorised as low, assessment and risk perception of the NBF

•

Risk categorisation shall be undertaken ba social/financial status, nature of business business and their location etc. While cons identity documents through online or other be factored in.

As per the directives, we have configured the para medium risk, and high risk in the LCode software. customer ID creation process in the following man

Select the “Occupation Type” Tab in the customer following dropdown items will be shown here:

ces (India) Private Ltd VIL LANE ROAD, VAZHAKKALA, KAKKANAD m Kerala 682030.

MEMORANDUM

o

ll Branches/ ranch in Charge/ ll Departments

Date: 18/07/2022

tion in Lcode SoftwareOnline Verification of KYC Documents

nt!

he LCode Software shall be categorised k, based on the parameters annexed to

rd, PAN Card & Voter’s ID) for customer hrough the link provided in the Lcode

mmediate effect.

risk-based approach on borrowers which includes

medium, and high-risk category, based on the FC.

ased on parameters such as customer’s identity, s activity, and information about the customer’s sidering customer’s identity, the ability to confirm r services offered by issuing authorities may also

ameters for categorising the borrowers as low risk, e. This categorization shall be done along with the nner.

r creation screen, which is a mandatory field. The

1

1. 2. 3. 4. 5. 6.

Salaried employees Pensioners Senior Citizens Illiterate persons People belonging to lower economi OTHERS

Borrowers 1 to 5 in the above categories will be aut On selecting “Others” go to the “Others Tab”, where such as High Net worth Individuals, politically expo Estate Agents etc. (The full list of categories for lo this memorandum.) Based on the selected param or high risk.

Branches may categorize the customers accordin various other aspects also. For instance, a salary c to be classified under low-risk category may be cl Branch as medium risk or high risk, depending on Real estate agent etc, by selecting the “others” cate (As per the Board approved KYC Policy of the Co approval from a Senior Official from HO).

Please note that risk categorisation of borrower creation. Risk categorization of existing customers.

We must categorize our existing customers a categorization and modify the existing customer b create issues like triggering of OTP to customers centrally from the backend without generation o worksheet will be shared to the branches listing ou must send back the worksheet after categorising th parameters may be selected depending on the K based on past connections or conducting proper e 2. Online Verification of KYC documents.

KYC compliance is a mandatory requirement as pe per which we must obtain an Identity Proof and A Valid Documents (OVD). Aadhar can be accepte case of gold loans we are accepting Aadhar only Rs. 5 L and above PAN card is mandatory. For lo for generation of Cibil Report and hence we insist

Online Verification of the KYC documents submitte the authenticity of the customer to avoid identity t fraud by verifying the customer’s credibility. As UID It is recommended that the Aadhaar should be ver

Online Verification is the process of verifying th website of the issuing authority like UIDAI (in cas PAN) and Election Commission (in case of Voter issued the documents and are valid.

Though the online verification can be done by vis will take time and hence not easy. As an effort to s

ic strata of the society.

tomatically classified as Low Risk, by the software. e you will see various parameters in the dropdown, osed persons (PEP), Relatives of PEPs, NRI, Real ow, medium and high-risk customers is annexed to meter the borrower will be classified as medium risk

ng to the risk perceived by them while considering class individual or Senior Citizen, who is generally lassified otherwise based on the perception of the n whether he/she is an HNI, PEP, relative of PEP, egory and appropriately selecting the subcategory. ompany, onboarding of a PEP customer requires

rs is mandatory at the time of new customer ID

also based on the parameters set for the risk basic data. If this is done at the Branch level it will s, which is not desirable. Hence this will be done of OTP to customers. For this purpose, an excel ut the customer ID of existing customers. Branches he customers into various risk grades. The grading KYC documents, knowledge about the customers enquiries.

per RBI directives while onboarding a customer, as Address Proof of every customer called Officially ed both as ID proof and address proof. Hence in y as both ID and address proof. For gold loans of oans other than gold loans two OVDs are required for a second OVD along with Aadhar Card.

ed by the borrowers helps us to validate and verify theft or deal with fraudsters. It helps us to prevent DAI has said “All 12-digit numbers are not Aadhaar. rified before accepting it as identity proof.”

he details of the KYC document from the official se of Aadhar) Income Tax Authorities (in case of rs ID). It helps to ensure that the authorities have

siting the official website of the issuing authority, it speed up the process and to ensure that branches 2

are conducting the online verification in all cases API (Application Programming Interface) of Equifa and Voter’s ID.

The online Aadhaar verification is done by using needs to enter the details of the Aadhaar Card o card, and then using Equifax’s AI powered Aadhaa it whereas offline verification takes time, money, an sophisticated as it can verify each data point on th Pan Card and Voter’s ID can also be verified in a s

Branches can do the verification from the Loan Ap Type>and selecting Aadhar or PAN Card or Vote file can be seen as a pop-up window and Branc the response file before closing the window. If into, and a judicious decision shall be taken on op in the backend, which will be verified at HO.

Branches are requested to do the online verificatio before customer onboarding, without fail.

The above instructions come into force with imme

Branches are requested to confirm receipt of this I printed, and the signature of all staff members sha it shall be kept in the files for future reference. With Warm Regards,

Head-Credit & Risk.

s, we have integrated with the Lcode software an ax for verification of three OVDs viz Aadhar, PAN

the Aadhaar verification API where the user just or they can simply upload a photo of the Aadhaar aar card OCR we can extract the data and validate nd resources. The Aadhar Verification API is more he Aadhar card, and it takes only a few seconds. similar way.

pplication screen, by selecting the Operation>PDD ers ID from the dropdown. A verification response ches should cross check the original data with f any mismatches are found, it should be enquired pening the account. The response files are stored

on of Aadhar/PAN/Voters ID (as the case may be),

ediate effect.

IOM through an e-mail. A copy of this IOM shall be all be obtained as a proof of reading the IOM and

3

Annexure: Risk Categorization of Borrowers A

B

C

GOLD LOANS Low Risk Customers 1. Salaried employees 2. Pensioners 3. Senior Citizens 4. Illiterate persons 5. People belonging to lower economic strata of the society. Medium Risk Customers 1. Gas Dealers 2. Car dealers 3. Electronics Dealers 4. Travel agency, Telemarketers, Telecommunication service providers 5. Pawnshop owners 6. Restaurants, Retail shops, Movie theatre owners 7. Notaries 8. Advocates 9. Accountants of small, little-known firms 10. Blind persons 11. Pardanashin Ladies

High Risk Customers 1. Politically Exposed Persons* 2. Close relatives of PEPs. 3. High Net worth Individuals 4. Non-Resident customers 5. Customers dealing in Real Estate business

* PEP are individuals who are or have been ent outside the country like Heads of Sta government/judicial/military officers, senior exe political party officials etc.

Business/MSME/Other Loans Low Risk Customers 1. Salaried employees 2. Pensioners 3. Senior Citizens 4. Illiterate persons 5. People belonging to lower economic strata of the society. Medium Risk Customers 1. Gas Dealers 2. Car dealers 3. Electronics Dealers 4. Travel agency, Telemarketers, Telecommunication service providers 5. Pawnshop owners 6. Restaurants, Retail shops, Movie theatre owners 7. Notaries 8. Advocates 9. Accountants of small, little-known firms 10. Blind persons 11. Pardanashin Ladies 12. Partnerships 13. Sole Proprietorships High Risk Customers 1. Politically Exposed Persons* 2. Close relatives of PEPs. 3. High Net worth Individuals 4. Non-Resident customers 5. Customers dealing in Real Estate business 6. Those with dubious reputation as per public information available. 7. Accounts of non-face-to-face customers. 8. Customers based in high-risk countries/jurisdictions or locations 9. Customers engaged in a business which is associated with higher levels of corruption (e.g., Arms manufacturers, dealers, and intermediaries) 10. Cash intensive businesses such as accounts of bullion dealers (including sub-dealers) & jewellers. 11. Trusts, charities, NGOs, and organizations receiving donations. 12. Companies having close family shareholding or beneficial ownership. 13. Firms with sleeping partners. trusted with prominent public functions within or ates/Government, senior politicians, senior ecutive of state-owned corporations, important 4

Lulu Financial Servic Registered Office: Y - TOWER, 12/971 - B CIVIL L Ernakulam Kerala

INTER OFFICE M From

To

Credit & Risk Management Department,

All

IOM No.20221130(CO)13 Reg: Revision of Gold Loan Schemes effective Dear Team,

Assessing the business strategies of our compet services and continuously reviewing our existing market demand and customer expectations are ke or anticipating customer preferences and accord addition are necessary to be ahead of other mark also keep transparency and fairness in dealing excellence as an important selling tool. Ensuring a for survival of any business.

Keeping the above aspects in mind, we have revi offering a new bouquet of gold loan products effe our existing gold schemes.

The details of new gold loan schemes are given Salient features of the revision are as follows:

The High Value Loan for Rs. 5,00,000/- and abo 180 days to 270 days to be more attractive, ke The recently introduced and popular “Privilege Rupee Interest Loan”, keeping the interest rate per month for hundred rupee loan) but with a s Renewal Option with addition or deletion of go interest loan schemes. In lower interest rate sch can be done with change in schemes with high

ces (India) Private Ltd LINE ROAD, VAZHAKKALA, KAKKANAD KOCHI 682030.

MEMORANDUM

o

l Branches/Departments Date: 30/11/2022 from 01/12/2022

titors, studying, and analysing their products and products to ensure that they are in tune with the ey to success of any financial institution. Studying dingly modifying the schemes with visible value ket players. In modifying the schemes, we should gs with customers and adopt customer service fair return on the funds we deploy is also important

iewed our existing gold loan schemes and we are ective from 1st December 2022, by withdrawing all

n as annexure.

ove @11.99% is revised extending the tenure from eeping the rate of interest at the same levels. e Gold Loan scheme @12%” is modified as “One e at the same level of 12% (ie one rupee interest slightly reduced LTV of 70%. old ornaments is permitted in the software for high hemes, renewal with addition/deletion of ornaments her interest rates.

1

A Flexi Business Loan scheme is introduced w 75% LTV. No business proof is required, but business. Super Sakthi loans have two versions, one wit from the other. All the schemes have a mirror scheme for t schemes. Takeovers shall be booked only in th Rate of interest will move to the base rate if mo not, higher rate will be charged from day “0”. 2% penal interest will be applicable for all loans All the existing schemes are withdrawn, and th 1st December 2022.

Please take all efforts to market the new schemes.

The modified list of Gold Loan schemes is given as

Wishing the Branches all success in effective mark Warm Regards,

Head-Credit & Risk.

Annexure: Modified list of Gold Loan sch

without any interest jumping @ 20% interest, with t the purpose of the loan shall be mentioned as

th 1% interest reduction, if the LTV is lower by 5%

takeover, with the same features as the normal he takeover schemes. onthly interest is paid, from the date of payment. If

s after the maturity date. he new schemes will be operational effective from

.

s Annexure.

keting of the gold loan schemes.

hemes.

2

Anne Modified List of Gold Loan Sl. No Scheme Scheme Name Code* 1

Minim

1032 1033

High Value Loan-(HVL11.99) (No renewal option)

2

1034 1035

One Rupee Interest Loan (ORIL12) (No Renewal Option)

3

1036 1037

Super Express Loan (SEL16.50) (No renewal option)

4

1038 1039

Super Sakthi Loan-1(SSL18)

20

5

1040 1041

Super Sakthi Loan-2 (SSL19)

20

6

1042 1043

Flexi Business Loan (FBL20)

5,00,0

20

50,0

1,00,0

* Under each scheme, the first scheme code takeovers. • •

Rate of interest will move to the base rate if If not, higher rate will be charged from day 2% penal interest will be applicable for all lo

exure Schemes w e f 01/12/2022

mum Maximum

000 20,00,000

Interest slabs Tenure 0-30D-11.99% 31-60D-14.99% 270 61-90D-17.99% 91-270-23.99% 0-30D-12% 31-60D-14% 61-90D-18% 270 91-180-21% 181-270-24% 0-30D-16.50% 31-60D-18% 61-90D-20% 270 91-180-22% 181-270-24%

LTV

70

000

1,00,000

70

000

1,00,000

000

No Limit

0-90D-18% 91-180-20% 270 181-270-23%

70

000

No Limit

0-90D-19% 91-180-21% 270 181-270-24%

75

000

No Limit

20% 180

75

75

is for Normal Schemes and the second is for

monthly interest is paid, from the date of payment. “0”. oans after the maturity date.

3

1

Lulu Financial Servic Registered Office: Y - TOWER, 12/971 - B CIVIL L Ernakulam Ke

INTER OFFICE M From

To

Credit / Risk Management Department

Al

IOM No.20221202(CO)14

Reg: Gold Lo

IMPOR ✓ Gold Loan Takeover is permitted only from kn ensuring the genuineness of the takeover reas ✓ Takeover is permitted only from Banks and rep ✓ Takeover should only be in the name of the sam other lender. ✓ Declaration cum undertaking in vernacular sho ✓ Additional ornaments cannot be added to the amount. ✓ Partial takeover and release of some items fr funds with the customer to close the entire loan ✓ Cash should be taken out of the premises customer’s Bank for closure of the account, o entry, uploading of the pledge tokens and first ✓ Cash movement should be done only after entr ✓ The accounts shall be booked only in the spec ✓ Proper gold appraisal should be conducted on ✓ Ownership certification to be signed by the app customer. ✓ PAN Card and Field verification compulsory if t ✓ Permission from Head-Credit & Risk to be obta above by sending the copies of the pledge toke

Dear Branch Team,

Loans against collateral of Gold is one of the mos of many reasons. From the lender’s perspective it the customer it offers hassle-free instant liquidity f depending on their requirements.

Being a new entrant into the NBFC bandwagon go for the time being. For expanding the gold loan bus be to scout for gold loan takeovers from other Ban

1

ces (India) Private Ltd LINE ROAD, VAZHAKKALA, KAKKANAD KOCHI erala 682030.

MEMORANDUM

o

ll Branches / Departments Date: 02/12/2022

oan Takeover.

RTANT nown customers, after proper due diligence and sons. puted NBFCs/Nidhi Companies. me customer appearing in the pledge token of the

ould be got signed beforehand. e lot as per the pledge token, for getting higher

rom the lot permitted ensuring the availability of n with the other lender. or funds to be transferred to the other lender/ only after customer ID creation, takeover request level loan approval in the Lcode software. try in the cash in transit register. cific takeover schemes. receipt of the ornaments from the other lender. praisers if 20 grams or more pledged by the same

the loan is for Rs. 5 L and above. ained for gold loan takeovers of Rs. 2 Lakhs and ens by email.

st popular loan products in the country on account t is one of the most secure asset portfolio and for for their gold which can be used for any purposes

old loans are one of our core focus areas, at least siness, among others, one of our strategies should nks and NBFCs.

2

An individual may opt for gold loan balance transf the burden of high interest rates, getting lower loa gold while availing the loan, inflexible repaymen provided enough security for their gold etc.

As compared to normal gold loan pledges, gold lo as we are parting with our money before we recei risk is still higher when we are not giving the mon refuse to accept money from us), but giving credit customer will cooperate with us in retrieving the go account and creating pledge with us.

Considering the risk involved and with an aim to b loan takeovers, the following directions are given t

1. We have designed and configured in L takeovers. Takeover loans shall be booked have built in specific safeguards to protec customer ID, uploading of the Pledge Toke according of a proper sanction etc, before w ornaments in our hand. The following is the

2. Takeover Process: i.

ii.

Ascertain and get convinced on the rea transfer from the other lender (like i inability to service interest etc) Obtain a copy/copies of the Pledge Tok takeover loan amount is Rs. 2 Lakhs Credit via email and obtain approval fo

2

fer for several reasons like not being able to bear an amounts that are not equal to the value of their nt options that cannot be adjusted and not being

oan takeover is fraught with more risks, especially ive the gold ornaments from the other lender. The ney directly to the other lender (as many NBFCs t to the customer’s account, fully believing that the old ornaments from the other lender by closing the

bring uniformity across branches in handling gold to branches for strict compliance.

Lcode, specific gold loan schemes to facilitate d only under any of these specific schemes, as we ct us, like compliance of KYC norms, creation of en of other lenders, capturing the ornament details, we part with our money and before getting the gold e takeover process configured in the system.

asons why the customer is opting for the balance interest advantage, getting higher loan amount,

ken(s) of the other lender from the customer. If the and above, send the scanned images to Heador the takeover.

3 iii.

iv.

v.

vi.

vii.

viii. ix.

x.

xi. xii.

xiii.

xiv.

Takeover should be in the same name other lender. Ornaments pledged with th can be clubbed together and can be ta than one lender should be booked und All the ornament items shall normally b token of the other lender. Additional amount (It shall be pledged separately) If the customer is eligible for getting a such items can be excluded and given from the other lender. Partial takeover is permissible (ie a few ensuring that the customer is having s loan with the other lender, along with in The normal process for customer onb creation to be completed as like norma lender to be uploaded and the loan sh the exposure exceeds Rs. 5 L, this will The declaration/undertaking in vernacu by the customer in advance, in all case After approval of the loan in the syste record it in cash in transit register with customer proceed to the other lender a If the amount exceeds the permissible credited to the customer’s account, a Accounts Team with the account deta accept direct credit from us direct paym be credited to the customer’s account with the customer and arrangements s retrieval of the ornaments. Since the other lender will hand over the care shall be taken at this stage to get After retrieval of the ornaments from th completed in the software like takeover disbursal etc. Before doing so, the g appraisal, as in normal pledges. Adjust in the software. Other normal procedures like ascertain grams), obtention of PAN Card and Fi above) shall be done in takeover cases The pawn ticket and loan agreements s

The above instructions shall be complied with by a With Warm Regards,

Head-Credit / Risk Management.

3

e of the customer, as per the pledge token of the he same lender under more than one pledge token aken over as a single account. Accounts with more der separate accounts. be retrieved and pledged with us as per the pledge items should not be added for getting a higher ). higher amount, even if some items are excluded, n back to him/her, after retrieving the ornaments

w ornaments in a pledged lot with the other lender) sufficient funds in his/her hands to close the entire nterest. boarding like KYC compliance and customer ID al gold loan pledges. The Pledge token of the other hould be approved and disbursed in the system. If automatically come to Head-Credit for approval. ular supplied to the branches should be got signed es. em, the Branch can take out cash from the safe, signature of the Branch official and along with the along with the customer for closing the account. e limits as per IT regulations, and requires to be a properly worded request shall be sent to the ails of the customer. If the other lender agrees to ment shall be effected, otherwise the amount may with any Bank. Proceed to the other lender along shall be made for closure of the loan account and

e pledged ornaments only to the customer, utmost the ornaments in our possession. he other lender, the remaining procedure shall be r receipt entry, loan approval, pawn ticket printing, gold ornaments should be subjected to thorough tments in net weight if required should be entered

ning the ownership (if net weight is more than 20 ield verification (if the loan amount is Rs. 5 L and s also. shall be printed and got signed by the customer.

all Branches meticulously.

Lulu Financial Servi Registered Office: Y - TOWER, 12/971 KAKKANAD KOCHI Er

INTER OFFICE

From

Credit / Risk Management Departmen IOM No.20221207(CO)15

Reg: Release of pledged gold orna Dear Branch Team,

In spite of our detailed repeated instruct lapses were recently noticed in a Branch ornaments to customers, which might ha losses.

We once again reiterate the precautio pledged gold ornaments are released to

The Jewellery pledged by a custom customer who pledged the gold, on r interest, penal interest, and other char of the pawn ticket. Any third-party release shall be permi with all formalities. In case the customer is deceased, th heir/s on execution of documents Company for settlement of decease getting written permission from HO. Release shall be done only after ver original KYC documents and custome Both custodians jointly, should take ou Gold Loan account is closed in the the Company, and ensuring that th properly. Both the joint custodians sh

1

ices (India) Private Ltd 1 - B CIVIL LINE ROAD, VAZHAKKALA, rnakulam Kerala 682030.

E MEMORANDUM

nt

To All Branches / Departments Date: 07/12/2022

aments-Precautions and safeguards.

tions through SOPs and Trainings, serious h in the process of release of pledged gold ave landed us in monetary and reputational

ons and safeguards to be adopted when customers, for strict compliance.

mer shall be released only to the same receipt of full dues including the principal, rges if any, and tendering of customer copy

itted only with HO approval after complying

he ornaments can be delivered to the legal as per the procedure stipulated by the ed borrower’s loan account and only after

rification/confirmation of signature with the er copy of the original Pawn Ticket. ut the gold packet from vault only after the e software after receiving the full dues to he remittance is received and accounted hould sign the gold stock register.

Branch in charge should hand over th the necessary acknowledgment in th should be handed over to the custom release portions noting “item received If the remittance to close the account that the remittance is received from th any Bank and not from any third party If the accounts are taken over by remittance from the NBFC’s accoun account maintained with any Bank. If the accounts taken over by other N shall be informed in advance and dire The gold ornaments shall not be deliv under any circumstances. Remittance received to close the go account and credited in our Bank a branches with the e-mail approval streamline the process we are initiati HO Accounts team to approve it in the will be the maker for the entry a checker/approver). Pledged items should not be rele company. Deviations/relaxations if any shall be

The above directions are issued to Bran will be viewed seriously, and both the join

Branches may please acknowledge rece members and send a scanned copy to cr With Warm Regards,

Head-Credit / Risk Management.

2

he ornaments to the borrower after getting he applicable documents. The gold items mers and signatures to be obtained in the d”. is not received in cash, it shall be ensured he customer’s own account maintained with y’s account. any other NBFC, we should not accept nt, but only through the customer’s own

NBFCs/Banks are above Rs. 2 lakhs, HO ections/guidance shall be obtained. vered to the other Lender’s representative

old loan account from the customers Bank account are presently appropriated by the from the HO Accounts team. In order ing changes in the software to enable the e software itself (ie one of the Branch team and the HO Accounts staff will be the

eased after the business hours of the with HO approval only.

nches for strict compliance. Any violations nt custodians will be held accountable.

eipt of this IOM. Get the signature of all staff [email protected].

Lulu Financial Servi Registered Office: Y - TOWER, 12/971 KAKKANAD KOCHI Er

INTER OFFICE

From

Credit / Risk Management Departmen IOM No.20230112(CO)16

Reg: Consume Dear Team,

We are glad to inform Branches that w bouquet of products viz. Consumer Dura

The Scheme details (Standard Operating

The new Consumer Durable Loan and Loans and Business/MSME loans can be our Gold Loan Schemes and vice versa.

We have also introduced attractive inc marketing initiatives of Branches.

Please take earnest efforts to market the With Warm Regards,

Head-Credit / Risk Management.

1

ices (India) Private Ltd 1 - B CIVIL LINE ROAD, VAZHAKKALA, rnakulam Kerala 682030.

E MEMORANDUM

nt

To All Branches / Departments Date: 12/01/2023

er Durable Loans.

we have added one more scheme to our able loans.

g Procedure-SOP) are given as annexure.

our other existing products like Personal e used as a marketing tool for cross selling

centive schemes to Branches to aid the

e products and come with flying colours.

Lulu Consume

(Standard Oper Product Segment

Retail Loan

Product Type

Consumer Fin

Product Code

2

Product Schemes

2001-Consum

2002-Consum

1

Features

Description

The Product

A Consumer Du to finance their p products include as TVs, refrige microwaves, ho Lifestyle Produc

By obtaining a C these products convenient perio 2

Target Segment

• • •

3

Eligibility

Salaried emplo • • • • •

Aspiring Mid New to Cred Lulu Group E

Age: 21- 65 Minimum Gr For Pension Vintage of a Cibil score -

4.

Loan Amount

Minimum Rs. 10

5

Margin

10% of the invo

6

Loan Tenor

Minimum 6 mon

7

Repayment

Monthly Instalm •

Autopay: C autopay for

•

Standing In using NACH

•

Online Tran using NEFT

•

Draft/ Cheq drafts or pos

8

Security

Hypothecation o

9

Co-Applicant

Co-applicant Ma

2

er Durable Loan

rating Procedure)

nance

mer Durable Loan-General (Salaried)

mer Durable Loan- Lulu Group Employees.

urable Loan is an option that helps customers purchase of consumer durables. This class of es household appliances or electronics such erators, air conditioners, washing machines, ome theatres, laptops, Wellness equipment, cts etc.

Consumer Durable Loan a customer can buy and repay the cost of the purchase over a od ranging from 6 months to 30 months.

ddle Class dit Segment Employees

oyees/Pensioners

years on loan maturity. ross Monthly Income Rs. 15000/ners-Minimum Monthly pension of Rs 20000/at least 2 years with the current employer. -1 or above 650.

0000/- Maximum Rs 2,00,000/-

oice value.

nths; Maximum 30 Months

ment. No repayment holidays.

Can make use of internet banking to set up the EMI payments.

nstructions: Can set up standing instructions H mandate.

nsfer: EMI payments can also be made online T, RTGS, IMPS payments.

que: EMI payments can also be made via st-dated cheque.

of the assets acquired out of the finance

andatory for all loans to public.

For Lulu Group C for Rs. 50000/ a Spouse/Family 10

Rate of Interest

16% for public (

15% for Lulu g 2002) 11

Processing Fee

Rs. 2% + GST

12

Other Charges

• • •

Late Payme the defaulted Pre-closure Penalty for c

13

Disbursement

Direct to the sup

14

Pre-sanction inspection

Field visit requ mentioned in Aa

15

Pre-sanction documents

• • •

•

Loan applica Identity P License/ Vo Address Pr Statement/ L Bill (not mor

Estimate / P

Income docum •

Salaried - 3 6 months int

•

Pensionersevidencing t

16

Loan Documentation

• • • •

Terms & Co DPN/Securit 3 Security ch Original invo

17

General guidelines

•

Repayment Method by t FOIR 60% to

•

For Lulu Gro letter from th

3

Company Employees co-applicant mandatory and above. Member/Co-worker can be a co-applicant.

(scheme code 2001)

group company employees. (Scheme code

ent fee: 2.00% per month (24% per annum) for d amount for the defaulted period. charges: 4% of principal outstanding cheque bounce/NACH Return: Rs. 300+ GST

pplier/dealer by debit to the loan account.

uired if applicant not staying in the address adhar or staying in a rented house.

ation Proof: Aadhaar Card/ PAN Card/ Driving oter’s ID/ Passport roof: Aadhaar Card/ Passport/ Bank Account Lease/ Property purchase Agreement/ Utility re than 3 months old)/ Driving License

Performa Invoice

ments:

months' pay slip/ Bank account statement for to which salary credited, Salary certificate

- Pension book, Bank account statement the pension credited

onditions/undertaking in plain paper. ty Delivery letter. heques- and NACH Mandate oice/Bill (Post disbursement)

capacity to be calculated using the FOIR taking into the monthly obligations. Maximum o be insisted.

oup Company employees, a recommendation he Employer is mandatory.

Lulu Financial Servi Registered Office: Y - TOWER, 12/971 - B C KOCHI Ernakula

INTER OFFICE

From Credit / Risk Management Department IOM No.20230206(CO)17 പ്രിയപ്പെട്ട പ്രാഞ്ച് ട ീം അീംഗങ്ങപ്പെ,

സൂചന : KYC ആവശ്യത്തിനായി ആധാർ രേഖകൾ

വായ്പകൾ നൽകുന്നതിനായി കസ്റ്റമർ ID ഉണ്ടാ എന്നിവക്കായി നാാം സാധാരണയായി വാങ്ങുന്നത് ആവശ്യത്തിനായി ഇടപാടുകാരന്‍റെ കയ്യിൽ പാ്ിമ്ക്കണ്ട ചി് അധിക നിബന്ധനകൾ UI ഇതനുസരിച്ച്, എന്തിനാണ് ആധാർ വാങ്ങുന്ന ആധികാരികത പരിമ്ശ്ാധിക്കുന്നതുമായി ബ മ്ശ്ഖരിക്കുന്നത് എന്നുാം ഇടപാടുകാരതന അറിഞ്ഞുതകാണ്ടുള്ള ഒരു സമ്മതപഡ്താം വാങ്ങിയ മാനയമായി തപരുമാമ്റണ്ടതുാം ആധാർ മ്രഖക കാത്തുതകാള്ളാതമന്ന് ഇടപാടുകാരന് ഉറെു നൽ

ഇതനുസരിച്ച് ആധാർ മ്രഖകൾ വാങ്ങുമ്പാൾ സമ്മതപഡ്തത്തിന്‍റെ മാതൃക ഇമ്താതടാൊം മ്ച മ്ചർക്കുന്നതിനായി ആധാർ മ്രഖകൾ വാങ്ങ വാങ്ങിയിരിമ്ക്കണ്ടതാണ്. തത്ക്കാ്ാം ഇതിന്‍റെ ക പിന്നീട് അച്ചടിച്ച മ്കാെികൾ ഡ്ബാഞ്ചുകൾക്ക് വിത

ആധാർ മ്രഖകൾ കകകാരയാം തചയ്യുന്നതുമ ഒരിക്കൽക്കൂടി അടിവരയിടുന്നു. ആധാർനപറിന്‍റെ മറച്ചുവച്ചു് മാഡ്തമ്മ ഇ്ക്മ്ഡ്ടാണിക് രൂപത്തിമ് പാടുള്ളു. അതിനാൽ ആധാറിന്‍റെ മ്കാെി ഉറെുവരുത്തുക. ആധാർ മ്കാെിക സാക്ഷയതെടുത്തിയിരിക്കണാം. ആധാറിന്‍റെ സാക്ഷയതെടുമ്ത്തണ്ടതാണ്.

ആധാറിന്‍റെ online മ്വരിഫിമ്ക്കഷ്ൻ നടമ്ത്തണ്ടത പാ്ിക്കുമമ്്ലാ. വിശ്വസ്തതാപൂർവ്വാം

പ്പപ്കഡിറ്റ്/ റിസ്ക് രേധാവി

ices (India) Private Ltd CIVIL LINE ROAD, VAZHAKKALA, KAKKANAD am Kerala 682030.

E MEMORANDUM

To All Branches / Departments Date: 06/02/2023

ൾ വാങ്ങുന്നത് സീംരന്ധിച്ച്

ാക്കുമ്പാൾ, അഡ്രസ് ഡ്പൂഫ്, ഐരന്റിറ്റി ഡ്പൂഫ് ത് ഇടപാടുകാരന്‍റെ ആധാർ മ്രഖകൾ ആണമ്്ലാ. ഈ നിന്നുാം ആധാർ മ്രഖകൾ വാങ്ങുമ്പാൾ നമ്മൾ IDAI കഴിഞ്ഞ ആഴ്ച പുറത്തിറക്കുകയുണ്ടായി. ന്നതതന്നുാം ആധാറിന്‍റെ നിജസ്ഥിതി അത്ലങ്കിൽ ബന്ധതെട്് എതന്ത്ലാാം വിവരങ്ങളാണ് നമ്മൾ മ്ബാധയതെടുത്തി അയാളിൽനിന്ന് എ്ലാാം യിരിമ്ക്കണ്ടതാണ്. കൂടാതത നമ്മൾ ഇടപാടുകാമ്രാട് കളുതട സുരക്ഷിതതവവുാം രഹസയ സവഭാവവുാം ൽമ്കണ്ടതുമാണ്.

ൾ ഇടപാടുകാരനിൽനിന്ന് ഒെിട്ുവാമ്ങ്ങണ്ട ഒരു ചർക്കുന്നു. ഇനിമുതൽ പുതിയ ഇടപാടുകാതര ങ്ങുമ്പാൾ നിർബന്ധമായുാം ഈ സമ്മതപഡ്താം കുതറ മ്കാെികൾ എടുത്തു ഡ്ബാഞ്ചിൽ സൂക്ഷിക്കുക. തരണാം തചയ്യുന്നതായിരിക്കുാം.

മായി ബന്ധതെട്് മ്നരതത്തയുള്ള നിർമ്േശ്ങ്ങൾ െ അവസാനതത്ത നാ്ക്കാം ഒഴിതകയുള്ള നപറുകൾ മ്്ാ physical രൂപത്തിമ്്ാ നമ്മൾ സൂക്ഷിക്കാൻ ികൾ ഫയ്ിൽ സൂക്ഷിക്കുമ്പാൾ ഇക്കാരയാം കൾ ഇടപാടുകാരന്‍റെ കതയ്യാമ്ൊടുകൂടി original കണ്ടു എന്ന് ഡ്ബാഞ്ച് ഒഫീഷ്യ്ുാം

തിന്‍റെ ആവശ്യകതതയെറ്റിയുള്ള മുൻ നിർമ്േശ്ങ്ങൾ

AADHAAR: INFORMED CONS To Branch Manager/Branch-in-charge. Lulu Financial Services (India) Private Ltd Br…………………………………………………. Dear Sir/Madam,

I have applied for a gold loan/Personal Loan/Cons M/s Lulu Financial Services (India) Private Ltd (Lulu and confirm that:

I have voluntarily opted for Aadhaar OVD KYC or off at my own discretion, my Aadhaar number, Virtua demographic information, identity information, Aa “Information”), for the purpose of establishing my ide

I am informed by the Company that: • Submission of Aadhaar is not mandatory, and t identity including by way of Physical KYC with Off were explained to me by the Company Officials. • For KYC/authentication/offline verification, the C or through outsourced vendors and UIDAI will s data, demographic details, registered mobile nu informed purposes mentioned below. • I authorise and give my consent to the Company purposes: KYC and periodic KYC process as pe guidelines, or for establishing my identity KYC, demographic or other authenticatio applicable law, for all accounts, facilities existing and future. Collecting, sharing, storing, preservin Information and authentication/verificatio above, (b) as well as for regulatory and under applicable law. Producing records and logs of the con verification etc. for evidentiary purpose arbitration. • I understand that the Aadhaar number will not be the e-Aadhaar myself using the OTP received on • I hereby declare that all the information voluntar not hold Lulu Finserv or any of its officials respo me. • The above consent and purpose of collecting language.

The particulars of my Aadhaar are as under: Aadhaar/UID number: ………………………………… Name of the Aadhaar Holder as in Aadhaar card: …… Yours faithfully,

(Signature/ Thumb impression)

Name: ...........................................Mobile No. .......... Email: ………………................................................ Enclosure: Copy of the Aadhaar self-attested.

SENT / DECLARATION FOR KYC

sumer Loan/Business Loan/……………. (specify) from Finserv). In connection with the same I hereby declare

fline verification and submit to the Company voluntarily al ID, e-Aadhaar, Masked Aadhaar, Aadhaar details, adhaar registered mobile number etc (collectively, entity / address proof.

there are alternative options for KYC and establishing ficially Valid Documents other than Aadhaar. All options . Company will share Aadhaar number to UIDAI, directly share with the Company, authentication data, Aadhaar umber, identity information, which shall be used for the

y (and its service providers), for the following informed

er the PML Act, 2002 and rules thereunder and RBI y, carrying out my identification, offline verification or eon/ verification/identification as may be permitted as per s, services, and relationships of/through the Company,

ng Information, maintaining records, and using the on/identification records: (a) for the informed purposes d legal reporting and filings and/or (c) where required

nsent, Information or of authentication, identification, es including before a court of law, any authority or in

e stored/ shared except as per law. I have downloaded n my Aadhaar registered mobile number. rily furnished by me is true, correct, and complete. I will onsible in case of any incorrect information provided by

g Information has been explained to me in my local

……………............................................. ……………………………………............

......…........................

Certificate regarding verificat Branch:

Gold Loan Number: ……………………………

Name of the Borrower…………………………

Weight of the Gold Ornaments Pledged:……

I, Shri/Smt……………………. Employee ID N Employee) do hereby certify that I have don pledged by the above customer for availing t

The ownership right of the jewellery was de (Tick whichever is applicable) Please tick

How the ownership was derived Ancestral property Gifted Purchased Any other means

I have arrived on the above conclusion bas the declarations furnished by him/her. I have also done a field verification/enquiry

(Applicable only in case of total gold loan exposure is

Signature: Name of the Employee: Employee ID:

Note: As per RBI directives, where the gold jewellery pledged by a more than 20 grams, NBFCs shall keep a record of the verification not necessarily be through original receipts for the jewellery pledg ownership of the jewellery has been determined, particularly in eac at any one time or cumulatively on loan outstanding is more than 20 is filed in compliance of these directions.

tion of the Ownership of Gold Date:

…..Amount:……………………..

…

…………………..

No…………….(Name and Employee ID of the ne the ownership verification of the Jewellery the above loan.

erived by the borrower in the following way

From whom/How/When

sed on the discussion with the borrower and

while conducting the ownership verification

s Rs. 5.00 L and above. Score off if not applicable)

a borrower at any one time or cumulatively on loan outstanding is n of the ownership of the jewellery. The ownership verification need ged but a suitable document shall be prepared to explain how the ch and every case where the gold jewellery pledged by a borrower 0 grams. This certificate of ownership of verification of the jewellery

AADHAAR: INFORMED CONSE To Branch Manager/Branch-in-charge. Lulu Financial Services (India) Private Ltd Br…………………………………………………. Dear Sir/Madam,

I have applied for a gold loan/Personal Loan/Consu M/s Lulu Financial Services (India) Private Ltd (Lulu F and confirm that:

I have voluntarily opted for Aadhaar OVD KYC or offlin my own discretion, my Aadhaar number, Virtual I demographic information, identity information, Aad “Information”), for the purpose of establishing my identi

I am informed by the Company that: • Submission of Aadhaar is not mandatory, and th identity including by way of Physical KYC with Offic were explained to me by the Company Officials. • For KYC/authentication/offline verification, the Com through outsourced vendors and UIDAI will share demographic details, registered mobile number, ide purposes mentioned below. • I authorise and give my consent to the Company purposes: KYC and periodic KYC process as per guidelines, or for establishing my identity, KYC, demographic or other authentication applicable law, for all accounts, facilities, existing and future. Collecting, sharing, storing, preserving Infor and authentication/verification/identification well as for regulatory and legal reporting a law. Producing records and logs of the cons verification etc. for evidentiary purposes arbitration. • I understand that the Aadhaar number will not be the e-Aadhaar myself using the OTP received on m • I hereby declare that all the information voluntarily f hold Lulu Finserv or any of its officials responsible • The above consent and purpose of collecting Inform

The particulars of my Aadhaar are as under: Aadhaar/UID number: ……………………………………… Name of the Aadhaar Holder as in Aadhaar card: ……… Yours faithfully,

(Signature/ Thumb impression)

Name: ...........................................Mobile No. .............. Email: ………………................................................ Enclosure: Copy of the Aadhaar self-attested.

ENT / DECLARATION FOR KYC

umer Loan/Business Loan/……………. (specify) from Finserv). In connection with the same I hereby declare

ne verification and submit to the Company voluntarily at ID, e-Aadhaar, Masked Aadhaar, Aadhaar details, dhaar registered mobile number etc (collectively, ity / address proof.

here are alternative options for KYC and establishing cially Valid Documents other than Aadhaar. All options

mpany will share Aadhaar number to UIDAI, directly or with the Company, authentication data, Aadhaar data, entity information, which shall be used for the informed (and its service providers), for the following informed

the PML Act, 2002 and rules thereunder and RBI carrying out my identification, offline verification or en/ verification/identification as may be permitted as per services, and relationships of/through the Company,

rmation, maintaining records, and using the Information n records: (a) for the informed purposes above, (b) as and filings and/or (c) where required under applicable

sent, Information or of authentication, identification, including before a court of law, any authority or in

stored/ shared except as per law. I have downloaded my Aadhaar registered mobile number. furnished by me is true, correct, and complete. I will not in case of any incorrect information provided by me. mation has been explained to me in my local language.

………............................................. …………………………………............

..…........................

സ്വർണ്ണ വായ്പ യുടെ നിബന്ധനകളുും

എടെ ഉെമസ്ഥതയിലുള്ള സ്വർണ്ണാഭരണങ്ങൾ രണയടെെുത്തി ലുലു ഫിനാൻഷ്യൽ സ്ർവീസ് ഇന്ന് ഒരു സ്വർണ്ണവായ്പ എെുത്തിട്ടുണ്ട്.

വായ്പ യുമായി ബന്ധടെട്ട് ഇനിെറയുന്ന നിബന്ധനകളുും വയവസ്ഥകളുും രാലിക്കാൻ ഞാൻ (ഇ

1. കമ്പനി വാഗ്ദാനും ടെയ്യുന്ന വിവിധ സ്കീമുകൾ രൂർണ്ണമായി വായിച്ച് മനസ്സിലാക്കിയ രറഞ്ഞിരിക്കുന്ന സ്കീമിന് കീഴിൽ (ബാധകമായ രലിശ നിരക്കുകളളാടെ) ളലാൺ ലഭയമാക്കാൻ

2. രണയും ടവച്ച സ്വർണ്ണാഭരണങ്ങളിൽ/ഇനങ്ങളിൽ ഉറെിച്ചിരിക്കുന്ന കല്ലുകൾക്ക് വിരണി മ സ്വന്ത്വുമായ സ്വത്താടണന്നുും മറ്റ് വയക്തികൾക്ക് ഏടതങ്കിലുും അവകാശും അടല്ലങ്കിൽ സ്ഥിരീകരിക്കുന്നു. .

3. അളരക്ഷകളിൽ നൽകിയിരിക്കുന്ന എല്ലാ വിശദാുംശങ്ങളുും ശരിയാടണന്നുും ഒരു വിവരവ ഏടതങ്കിലുും ടതറ്റായ/ടതറ്റിദ്ധരിെിക്കുന്ന വിശദാുംശങ്ങളിൽ നിന്ന് ഉണ്ടാകുന്ന ഏടതങ്കിലുും അതിന് വായ്പ വാങ്ങുന്നയാൾ മാപ്തും ബാധയസ്ഥനായിരിക്കുും. അളരക്ഷാ ളഫാമിൽ രറഞ്ഞ കമ്പനിക്ക് വായ്പ തുക അനുവദിക്കാും.

4. എനിക്കുള്ള വായ്പ കാലാകാലങ്ങളിൽ കമ്പനിയുടെ ആന്ത്രിക നയങ്ങടള ആപ്ശയിച്ചിരിക്ക വായ്പ വാങ്ങുന്നയാൾ സ്മ്മതിക്കുന്നു. വായ്പ , രലിശ, കൂട്ടുരലിശ, ഡിളഫാൾട്ട് രലിശ എന്നിവ വിളിക്കുന്നു.

5. ഞാൻ ടസ്കയൂരിറ്റിയായി നിളക്ഷരിച്ച/നിളക്ഷരിളക്കണ്ട സ്വർണ്ണ ടസ്കയൂരിറ്റിയുടെ എടെ യഥാർത്ഥ ളപ്സ്ാതസ്സുകളിൽ നിന്ന് ഞാൻ ളനെിയതിനാൽ അത് യഥാർത്ഥ സ്വർണ്ണമാടണന്ന മടറ്റാരാൾക്കുും ഇതിടനതിടര അവകാശവാദും ഇല്ല.

6. സ്വർണും/സ്വർണ്ണാഭരണങ്ങളുടെ മൂലയനിർണ്ണയും ഒരു സ്വതപ്ന്ത് മൂലയനിർണ്ണയക്കാരളനാ ക മൂലയനിർണ്ണയത്തിലൂടെ സ്ാക്ഷയടെെുത്തിയ മൂലയത്തിടെ അെിസ്ഥാനത്തിലാണ് കമ്പനി വ

7. വായ്പ ടയെുക്കുന്നയാൾ രണയ െിക്കറ്റിൽ വയക്തമാക്കിയ നിരക്കിലുും വായ്പ യക്ക ് ് ബാധകമ രലിശ പ്രതിമാസ് അെിസ്ഥാനത്തിൽ കൂട്ടിളച്ചർക്കുും. ഒരു വർഷ്ത്തിൽ 365 ദിവസ്ടമെു കാലാവധിക്കുള്ളിൽ ആവശയാനുസ്രണും വായ്പ തിരിച്ചെച്ചിടല്ലങ്കിൽ, രണയ െിക്കറ്റിൽ വയക്ത അധിക രലിശ ഈൊക്കാൻ കമ്പനിക്ക് അവകാശമുണ്ട്. വായ്പ യുടെ തുകയുും ഡിളഫാൾട്ടി നൽളകണ്ടിവരുും (രണ്ട് തീയതികളുും ഉൾടെടെ).

8. സ്വർണത്തിടെ തൂക്കും, രരിശുദ്ധി, നിലവിലുള്ള വിരണി മൂലയും എന്നിവടയ അെിസ്ഥാനമ

9. കമ്പനി സ്വർണ്ണത്തിടെ പ്രാഥമിക സ്ഥിരീകരണും മാപ്തളമ നെത്തുകയുള്ളൂ, കൂൊടത സ്വർണ്ണത്തിടെ രരിശുദ്ധി / തൂക്കും ആന്ത്രികമായി അടല്ലങ്കിൽ വിദഗ്ധർ മുളഖ്ന കൂെുതൽ കാലയളവിൽ എളൊൾ ളവണടമങ്കിലുും രാക്കറ്റുകൾ തുറക്കാനുും സ്വർണത്തിടെ മുഴുവൻ ഭ

10. ഇവിടെ രരാമർശിച്ചിരിക്കുന്നത് എന്ത്ുതടന്നയായാലുും, വിദഗ്ധരുടെ രരിളശാധനയ്ക്ക് ളശ വാങ്ങുന്നയാളുടെ ഉെമസ്ഥാവകാശും അരാകതയുള്ളതായി കാണടെെുകളയാ അടല്ലങ്കിൽ മ കുെിശ്ശികയുും മുതലുും രലിശയുും മറ്റ് ൊർജ്ുകളുും ഉൾടെടെ, ഉെനെി വായ്പ ടയെുക്കുന്നയാ കൃതയമായ പ് ാും വയക്തമാക്കുന്ന കമ്പനി നൽകുന്ന സ്ർട്ടിഫിക്കറ്റ്, വായ്പ അനുവദിക്കുന്ന താൽക്കാലികമായി കണക്കാക്കാും, അന്ത്ിമമല്ല.

11. രണയ െിക്കറ്റിൽ രറഞ്ഞിരിക്കുന്നത് ളരാടലയാണ് ളലാണിടെ കാലാവധി. ളലാൺ കാലാ തിരിച്ചെയ്ളക്കണ്ടതുണ്ട്. രണയ െിക്കറ്റിൽ ളലാൺ കാലാവധി സ്ൂെിെിച്ചിരിക്കുന്നു. എന്നിരു ളലാൺ തുക അെച്ച് ളലാൺ കാലയളവിൽ എളൊൾ ളവണടമങ്കിലുും ളലാൺ ളഫാർളലാസ് രൂർണ്ണമായ വിളവെനാധികാരത്തിൽ, അത്തരും കാലയളവുകൾക്കായി വായ്പ യുടെ കാലാവ വർഷ്ത്തിൽ കൂെരുത്. വായ്പ യുടെ കാലയളവിൽ എളൊൾ ളവണടമങ്കിലുും കെും വാങ്ങുന്നയ ൊർജ്ുകൾ എടന്ത്ങ്കിലുും ഉടണ്ടങ്കിൽ അത് രണയ െിക്കറ്റിൽ സ്ൂെിെിക്കുും. ഇവിടെ രരാമർശ സ്മയത്തുും ഒരു കാരണവുും നൽകാടത ളലാൺ തിരിച്ചുവിളിക്കാനുും / റോക്കാനുും അർഹതയ

12. കമ്പനിയുടെ വിളവെനാധികാരത്തിൽ കാലാകാലങ്ങളിൽ രുതുക്കിയ തരാൽ ൊർജ്ുകൾ

13. പ്രസ്തുത സ്വർണ്ണത്തിടെ ടമാത്തും മൂലയനിർണ്ണയ മൂലയത്തിടെ 75% ൽ കൂെുതലുള്ള ( നൽളകണ്ടതിടല്ലന്ന് കെും വാങ്ങുന്നയാൾ സ്മ്മതിക്കുന്നു. കമ്പനിയുടെ സ്വന്ത്ും വിളവെനാധ

14. വായ്പ യുടെ രൂർണ്ണമായ തിരിച്ചെവ്, രലിശയുും ൊർജ്ുകളുും സ്ഹിതും, വായ്പ യുടെ കാലയ കാലയളവിനുള്ളിൽ നെത്തിയിടല്ലങ്കിൽ, കമ്പനിക്ക് കെും വാങ്ങുന്നയാളുടെ ഉത്തരവാദിത്ത വാങ്ങുന്നയാൾ, അവടെ/ അവളുടെ സ്വതപ്ന്ത് ഇച്ഛാശക്തിയിൽ, നൽകിയിരിക്കുന്ന വിലാസ് എളൊൾ ളവണടമങ്കിലുും സ്വർണും ടരാതു ളലലത്തിലൂടെ വിൽക്കാൻ കമ്പനിടയ അധികാര ഉൾടെടെയുള്ള തുകകൾ. അത്തരും വിൽെനയിൽ എടന്ത്ങ്കിലുും മിച്ചും ഉടണ്ടങ്കിൽ, ക വാങ്ങുന്നയാളുടെ മളറ്റടതങ്കിലുും ബാധയതയ്ക്ക്, മറ്റുള്ളവരുമായി മാപ്തളമാ സ്ുംയുക്തമാളയാ, ളശഷ്ും, അറ്റ മിച്ചും, എടന്ത്ങ്കിലുും ഉടണ്ടങ്കിൽ, ളലലും കഴിഞ്ഞ് 30 ദിവസ്ത്തിനുള്ളിൽ കെും കുറവുണ്ടായാൽ, ആ കുറവ് വീടണ്ടെുക്കാൻ കെും വാങ്ങുന്നയാൾടക്കതിടര നിയമനെരെി സ്

15. രജ്ിസ്റ്റർ ടെയ്ത കത്ത് അടല്ലങ്കിൽ ടകാറിയർ ളസ്വനും, SMS അടല്ലങ്കിൽ ടെലിളഫാൺ അ മാർഗ്ഗും വഴി, നിർേിഷ്ട ളലല തീയതിക്ക് മുമ്പ്, ടരാതു ളലലത്തിൽ സ്വർണ്ണും വിൽക്കാൻ ഉളേശി കാലാകാലങ്ങളിൽ രുറടെെുവിക്കുന്ന മാർഗ്ഗനിർളേശങ്ങൾ അനുസ്രിച്ചായിരിക്കുും ളലലും ന സ്ഥലവുും സ്ഹിതും കമ്പനിയുടെ ബന്ധടെട്ട പ്ബാഞ്ചിലുും ടവബ്പ്സ്റ്റിലുും ്‌ പ്രദർശിെിക്ക മാർഗ്ഗനിർളേശങ്ങൾക്കനുസ്രിച്ച് പ്രസ്ിദ്ധീകരിക്കുകയുും ടെയ്യുും.

16 കമ്പനിയുടെ കസ്റ്റഡിയിൽ നിന്ന് ളമാഷ്ണും, അടല്ലങ്കിൽ മളറ്റടതങ്കിലുും കാരണങ്ങളാൽ വിരണി മൂലയത്തിൽ രരിമിതടെെുത്തിയിരിക്കുന്നു.

17. കെും വാങ്ങുന്നയാളുടെ മളറ്റടതങ്കിലുും ബാധയതയുടെ തിരിച്ചെവ് ഉറൊക്കാൻ, ഈ വായ് അവകാശമുണ്ട്, അത്തരും മറ്റ് ബാധയതകൾ രൂർണ്ണമായുും തീർൊക്കുന്നതുവടര. കത്ത്, ട ആശയവിനിമയ രീതി എന്നിവ മുളഖ്ന കെും വാങ്ങുന്നയാടള യഥാവിധി അറിയിക്കുും.

18. കെും വാങ്ങുന്നയാൾക്ക് കൃതയമായ അറിയിെ് നൽകിയതിന് ളശഷ്ും രലിശ നിരക്ക്, ൊ ൊർജ്ുകൾ മുതലായവ കെും വാങ്ങുന്നയാൾക്ക് സ്വീകാരയമടല്ലങ്കിൽ, അത്തരും അറിയിെ് തീ

19. ളലാൺ കാലയളവിൽ എളൊൾ ളവണടമങ്കിലുും ഏടതങ്കിലുും ബാങ്കിൽ നിളന്നാ ധന നിയമാനുസ്ൃതമായ ആവശയത്തിളനാ ആവശയമായ വായ്പ ളയാ സ്ാമ്പത്തിക സ്ൗകരയളമാ ളന അവകാശമുണ്ട്.

ും വയവസ്ഥകളുും പ്രഖ്യാരനങ്ങളുും.

സ്സ്് (ഇന്ത്യ) പ്പ്രവറ്റ് ലിമിറ്റഡിൽ നിന്ന് (ഇനിമുതൽ കമ്പനി എന്ന് രരാമർശിക്കുന്നു) ഞാൻ

ഇനിമുതൽ കെും വാങ്ങുന്നയാൾ / വായ്പ ക്കാരൻ എന്ന് രരാമർശിക്കുന്നു ) സ്മ്മതിക്കുന്നു.

യിട്ടുടണ്ടന്നുും അതിടെ അെിസ്ഥാനത്തിൽ വായ്പ ടയെുക്കുന്നയാൾ രണയും െിക്കറ്റിൽ ൻ അഭയർത്ഥിച്ചു/തിരടഞ്ഞെുത്തിട്ടുടണ്ടന്നുും വായ്പ ക്കാരൻ സ്ഥിരീകരിക്കുന്നു.

മൂലയമിടല്ലന്നുും പ്രസ്തുത സ്വർണ്ണാഭരണങ്ങൾ/ഇനങ്ങൾ കെും വാങ്ങുന്നയാളുടെ സ്മ്പൂർണ്ണവുും ൽ താൽെരയും അടല്ലങ്കിൽ അതിളേൽ അവകാശവാദും ഇടല്ലന്നുും കെും വാങ്ങുന്നയാൾ

വുും മറച്ചിട്ടിടല്ലന്നുും കെും വാങ്ങുന്നയാൾ സ്ഥിരീകരിക്കുന്നു. കെും വാങ്ങുന്നയാൾ നൽകുന്ന ും അനന്ത്രഫലങ്ങൾക്ക് കമ്പനിക്ക് ബാധയതയിടല്ലന്ന് വായ്പ വാങ്ങുന്നയാൾ സ്മ്മതിക്കുന്നു, ഞ്ഞിരിക്കുന്ന അത്തരും ഉളേശയങ്ങൾക്ക് കമ്പനി അനുളയാജ്യടമന്ന് ളതാന്നുന്ന തരത്തിൽ

ക്കുും. കമ്പനിയുടെ ള ാൾഡ് ളലാൺ സ്കീമിടെ നിബന്ധനകളുും വയവസ്ഥകളുും രാലിക്കാൻ വയ്്‌ടക്കാെും ഞാൻ കമ്പനിക്ക് നൽളകണ്ട മറ്റ് നിരക്കുകളുും ഇനി മുതൽ "കുെിശ്ശിക" എന്ന്

െ ഉെമസ്ഥാവകാശും ഒരു തരത്തിലുും അരാകതളയാ വയാജ്ളമാ നിലവാരും കുറഞ്ഞളതാ അല്ല, ന്ന് വായ്പ വാങ്ങുന്നയാൾ സ്ഥിരീകരിക്കുന്നു. ഇത് എടെ ളബാണപ്ഫഡ് ളപ്രാെർട്ടി ആണ്,

കമ്പനിയുടെ ജ്ീവനക്കാളരാ നെത്തുടമന്ന് വായ്പ വാങ്ങുന്നയാൾ സ്മ്മതിക്കുന്നു. അത്തരും വായ്പ തുക നിർണ്ണയിക്കുന്നത്.

മായ നിരക്കുകളിലുും രലിശ നൽകണും. പ്രതിമാസ് ഇെളവളകളിൽ രലിശ അെച്ചിടല്ലങ്കിൽ, ുത്ത് രലിശ കണക്കാക്കുും. രണയ െിക്കറ്റിൽ വയക്തമാക്കിയിരിക്കുന്നതുളരാടല, വായ്പ ക്തമാക്കിയിരിക്കുന്നതുളരാടല, വായ്പ കാലാവധി അവസ്ാനിച്ചതിന് ളശഷ്ും @2% (പ്രതിമാസ്ും) ിലുള്ള രലിശയുും വായ്പ യുടെ തീയതി മുതൽ അക്കൗണ്ട് ളലാസ്് ടെയ്യുന്നതുവടര രലിശ

മാക്കിയാണ് വായ്പ .

ത കമ്പനിയുടെ സ്വന്ത്ും വിളവെനാധികാരത്തിൽ, ആവശയടമങ്കിൽ ഏത് സ്മയത്തുും ൽ രരിളശാധിക്കാനുള്ള അവകാശമുണ്ട്. കെും വാങ്ങുന്നയാൾ ടെലവ് വഹിക്കുും. വായ്പ ഭാ വുും ഉരുക്കാനുും കമ്പനിക്ക് അതിടെ വിളവെനാധികാരും ഉണ്ടായിരിക്കുും.

ശഷ്ും, സ്വർണ്ണത്തിടെ മുഴുവനാളയാ ഭാ ളമാ, നിർദിഷ്ട തൂക്കും / രരിശുദ്ധി അടല്ലങ്കിൽ കെും മളറ്റടതങ്കിലുും വയക്തി തർക്കത്തിളലർടെെുകളയാ ടെയ്ത ാൽ വായ്പ യക്ക ് ് കീഴിലുള്ള മുഴുവൻ ാൾ തിരിടക നൽകുും.. 22 കാരറ്റിളലക്ക് രരിവർത്തനും ടെയ്ത തിന് ളശഷ്ും, സ്വർണ്ണത്തിടെ ന്ന സ്മയത്ത് നെത്തിയ പ്രാഥമിക രരിളശാധനടയ അെിസ്ഥാനമാക്കിയുള്ളതാണ്, അത്

ാവധി രൂർത്തിയാകുളമ്പാളഴാ അതിനുമുളമ്പാ വായ്പ ടയെുക്കുന്നയാൾ രലിശ സ്ഹിതും വായ്പ ുന്നാലുും, വായ്്‌രയ്ക്ക് ്‌ ബാധകമായ രലിശയുും മറ്റ് സ്ാന്ദർഭിക ൊർജ്ുകളുും സ്ഹിതും പ്രധാന സ്് ടെയ്യാനുള്ള ഓര്ഷ്ൻ ്‌ വായ്പ ക്കാരന് ഉണ്ടായിരിക്കുും. അതുളരാടല, കമ്പനിക്ക് അതിടെ വധി കൂെുതൽ നീട്ടാൻ അവകാശമുണ്ട്, എന്നാൽ വായ്പ വിതരണും ടെയ്ത തീയതി മുതൽ ഒരു യാൾക്ക് മുതലിടെളയാ രലിശയുടെളയാ ഭാ ിക ളരയ്്‌ടമന്റുകൾ നെത്താും. പ്രീ-ളരയ്്‌ടമന്റ് ശിച്ചിരിക്കുന്നത് എന്ത്ുതടന്നയായാലുും, കമ്പനിക്ക് അതിടെ വിളവെനാധികാരത്തിൽ ഏത് തയുണ്ട്, അതിനുളശഷ്ും കുെിശ്ശിക ഉെൻ കമ്പനിക്ക് നൽകടെെുും.

ൾ ബന്ധടെട്ട അക്കൗണ്ടിൽ നിന്ന് ളശഖ്രിക്കുും.

(രലിശയുൾടെടെ), പ്രസ്തുത ആഭരണങ്ങൾക്കുും സ്വർണ്ണത്തിനുും എതിടര കമ്പനി വായ്പ ധികാരത്തിൽ പ്രസ്തുത മാർജ്ിൻ കാലാകാലങ്ങളിൽ വയതയാസ്ടെെുത്താൻ സ്വാതപ്ന്ത്യമുണ്ട്.

യളവിനുള്ളിൽ (രണയെിക്കറ്റിൽ വയക്തമാക്കിയത്) അടല്ലങ്കിൽ കമ്പനി ആവശയടെെുന്ന ത്തത്തിലുും വിലയിലുും സ്വർണും ടരാതു ളലലത്തിലൂടെ വിൽക്കാൻ അവകാശമുണ്ട്. കെും സ്ത്തിൽ കെും വാങ്ങുന്നയാൾക്ക് ളനാട്ടീസ്് നൽകിയ തീയതി മുതൽ 2 ആഴ്െയ് ്‌ ക്ക് ്‌ ളശഷ്ും രടെെുത്തുന്നു. വായ്പ യുമായി ബന്ധടെട്ട് കമ്പനിക്ക് നൽളകണ്ട രലിശയുും മറ്റ് ൊർജ്ുകളുും കമ്പനിക്ക് അതിടെ ഏടതങ്കിലുും ഓഫീസ്ുകളിൽ ഏടതങ്കിലുും അക്കൗണ്ടിൽ, കെും , അത്തരും മിച്ചും വിനിളയാ ിക്കാൻ കമ്പനിക്ക് അവകാശമുണ്ട്. അത്തരും വിനിളയാ ത്തിന് ും വാങ്ങുന്നയാൾക്ക് തിരിടക നൽകുും. സ്വർണും വിനിളയാ ിച്ചതിന് ളശഷ്ും എടന്ത്ങ്കിലുും സ്വീകരിക്കാൻ കമ്പനിക്ക് അവകാശമുണ്ട്.

അടല്ലങ്കിൽ വയക്തി ത അറിയിെ്, ഇ-ടമയിൽ അടല്ലങ്കിൽ മളറ്റടതങ്കിലുും ആശയവിനിമയ ിക്കുന്നതായി കമ്പനി വായ്പ ക്കാരടന അറിയിക്കുും. ബന്ധടെട്ട ടറ ുളലറ്ററി അളതാറിറ്റികൾ നെത്തുക. ളലലത്തിന് വച്ചിരിക്കുന്ന അക്കൗണ്ടുകളുടെ രട്ടിക, ളലലത്തിനുള്ള തീയതിയുും ക്കുകയുും ബന്ധടെട്ട ടറ ുളലറ്ററി അളതാറിറ്റികൾ കാലാകാലങ്ങളിൽ രുറടെെുവിക്കുന്ന

ൽ രണയും ടവച്ച സ്വർണ്ണും നഷ്ടടെട്ടാൽ, കമ്പനിയുടെ ബാധയത നഷ്ടടെട്ട സ്വർണ്ണത്തിടെ

യ്പ യുടെ ടസ്കയൂരിറ്റിയായി വാഗ്ദാനും ടെയ്യുന്ന സ്വർണ്ണത്തിളേൽ കെും ടവക്കാൻ കമ്പനിക്ക് ടകാറിയർ ളസ്വനും, ഇടമയിൽ, എസ്്എുംഎസ്്, ടെലിളഫാൺ അടല്ലങ്കിൽ മളറ്റടതങ്കിലുും

ാർജ്ുകൾ മുതലായവയിൽ കമ്പനി മാറ്റങ്ങൾ വരുത്തിളയക്കാും. രുതുക്കിയ രലിശ നിരക്ക്, ീയതി മുതൽ 7 ദിവസ്ത്തിനുള്ളിൽ വായ്പ തീർൊക്കാൻ കെും വാങ്ങുന്നയാൾ സ്മ്മതിക്കുന്നു.

നകാരയ സ്ഥാരനത്തിൽ നിളന്നാ മറ്റ് ഓർ പ്നളസ്ഷ്നുകളിൽ നിളന്നാ മളറ്റടതങ്കിലുും നെുന്നതിനുള്ള അവകാശങ്ങൾ നൽകാളനാ പ്കമാറാളനാ സ്ുരക്ഷിതമാക്കാളനാ കമ്പനിക്ക്

20. കെും വാങ്ങുന്നയാൾക്കുള്ള എല്ലാ ആശയവിനിമയങ്ങളുടെയുും വിലാസ്ും വായ്പ ാ അ വായ്രക്കാരൻ ്‌ കമ്പനിടയ ളരഖ്ാമൂലും അറിയിക്കുകയുും ശരിയായി അും ീകരിക്കുകയ വാങ്ങുന്നയാൾക്ക് അയച്ച ഏടതങ്കിലുും ആശയവിനിമയും കമ്പനി അയച്ച കമ്മയൂണിളക്ക സ്ു മമാക്കുന്നതിന് ടറളക്കാർഡ് ടെയ്്‌ത ലാൻഡ്പ്ലൻ ്‌ ളഫാണിളലാ ടമാപ്ബൽ ളഫാൺ ന അറിയിക്കുും. ഇെരാെ്, ടപ്രാളമാഷ്ണൽ കമ്മയൂണിളക്കഷ്ൻ എന്നിവ പ്കമാറാൻ കമ്പനി സ്മ്മതിക്കുകയുും ടെയ്യുന്നു, കൂൊടത കെും വാങ്ങുന്നയാൾ അതിന് സ്മ്മതും നൽകുന്ന ടെയ്ളതക്കാടമന്ന് കെും വാങ്ങുന്നയാൾ മനസ്സിലാക്കുകയുും അും ീകരിക്കുകയുും ടെയ്യുന്നു.

21. ടസ്റ്റിൽടമന്റിടെ സ്മയത്ത് രണയ െിക്കറ്റ് ഹാജ്രാക്കുന്നതിൽ കെും വാങ്ങുന്നയാ നെരെിപ്കമങ്ങൾ രൂർത്തിയാക്കിയ ളശഷ്ും, ളപ്രാസ്സ്സിും ് ൊർജ്ുകൾ അെയ്ക്കുന്നതിന് വിളധ

22 അഡ് മിനിസ്്ളപ്െഷ്ൻ, രലിശ നികുതി, ളസ്വന നികുതി, തീരുവകൾ (സ്റ്റാമ്പ് ഡയൂട്ടി എന്നിവയുമായി ബന്ധടെട്ട നിലവിലുള്ളതുും ഭാവിയിലുള്ളതുമായ എല്ലാ ൊർജ്ുകളുും കെ ഉൾടെെുന്നത് : (എ) അളരക്ഷയുും ളലാണിടെ പ് ാന്റുും തിരിച്ചെവുും (ബി) രലിശ സ്ഹിതും വാ (ഇ) ടസ്കയൂരിറ്റി ഇൻഷ്വർ ടെയ്യൽ എന്നിവയുമായി ബന്ധടെട്ട് സ്ർക്കാരിടെ എല്ലാ നികുതിക

23. ടപ്കഡിറ്റ് ഇൻഫർളമഷ്ൻ ബയൂളറാ ഓഫ് ഇന്ത്യ ലിമിറ്റഡിന് (CIBIL) അടല്ലങ്കിൽ സ്മാനമായ മ

24. ഈ വായ്പ യിൽ നിളന്നാ അതിൽ നിളന്നാ ഉണ്ടാകുന്ന എല്ലാ തർക്കങ്ങളുും അഭിപ്രായ കൺസ്ിലിളയഷ്ൻ ആക്ടിടെ വയവസ്ഥകൾക്കനുസ്ൃതമായി അടല്ലങ്കിൽ അതിടെ ഏടതങ്ക നിയമിക്കുന്ന ഒരു മദ്ധയസ്ഥടെ ആർബിളപ്െഷ്നിളലക്ക് റഫർ ടെയ്യടെെുകയുും ടെയ്യുും. അ ബാധകമായിരിക്കുും. വയവഹാര ളവദി ളകരളത്തിലായിരിക്കുും.

25. ഈ പ്രഖ്യാരനും ഞാൻ നിരുരാധികമായി നെത്തിയതാണ്, വായ്പ യുടെ മുഴുവൻ ക തുെരുന്നതുമാണ്. മതിയായ മാർജ്ിൻ ലഭയമാടണങ്കിൽ, ഇളൊൾ ഞാൻ രണയും ടവച്ച അധികാരടെെുത്തുന്നു. അത്തരും അഭയർത്ഥനകൾ ഞാൻ ഓൺപ്ലനിളലാ മറ്റ് രീതികളിള ഈ പ്രഖ്യാരനും ബാധകമായിരിക്കുും.

26. അളരക്ഷയിൽ വിശദമായി സ്ൂെിെിച്ചിരിക്കുന്ന പ്രകാരും RTGS/NEFT/IMPS/CASH ഇെരാെ് ന നിയപ്ന്ത്ണങ്ങൾക്കുും അത് നിയപ്ന്ത്ിക്കുന്ന മാർഗ്ഗനിർളേശങ്ങൾക്കുും വിളധയമാടണന്ന് ഞ ഏടതങ്കിലുും പ്രതയാഘാതങ്ങൾക്ക് കമ്പനി ഒരു ബാധയതയുും സ്വീകരിക്കുന്നിടല്ലന്ന് ഞാൻ ക ഞാൻ മനസ്സിലാക്കുന്നു.

27. ഞാൻ എക്സികയൂട്ട് ടെയ്ത ഡിമാൻഡ് ളപ്രാമിസ്റി ളനാട്ട്, ആതയന്ത്ിക ബാലൻസ്് അടല്ലങ്കിൽ എല്ലാ തുകയുും തിരിച്ചെയ്ക്കുന്നതിന് ്‌ നിങ്ങൾക്ക് തുെർന്നുും സ്ുരക്ഷയായി പ്രവർത്തിക്കുും അവകാശങ്ങളുും ഞാൻ ഇതിനാൽ ഒഴിവാക്കുന്നു, കൂൊടത ടനള ാഷ്യബിൾ ഇൻസ്്പ്െുടമന നിങ്ങളളാെ് അഭയർത്ഥിക്കുന്നു. എടെ ആവശയാനുസ്രണും രണമെയ്ക്കാത്ത സ്ാഹെരയത്ത ഒഴിവാക്കാടത എനിക്ക് ളരയ്്‌ടമന്റിനായി സ്മയും നൽകാും. 28. ഇനിെറയുന്നവ കുെിശ്ശിക സ്ുംഭവങ്ങളായി വിളശഷ്ിെിക്കടെെുും.

എ. ഇവിടെയുള്ള ഏടതങ്കിലുും ബാധയതകൾ നിറളവറ്റുന്നതിൽ എടെ ഭാ ത്തുനിന്നുണ്ടാക ബാധയതകളുടെ ഏടതങ്കിലുും ഭാ ടത്ത പ്രതികൂലമായി ബാധിക്കുന്ന ഏടതങ്കിലുും സ്ാഹെര

ബി. ഞാൻ ഇവിടെ രറഞ്ഞിരിക്കുന്ന ഏടതങ്കിലുും പ്രസ്താവനകളളാ വിശദാുംശങ്ങളളാ ടതറ്റാ

സ്ി. കമ്പനി വയക്തമാക്കിയ സ്മയപ്കമും അനുസ്രിച്ച് വായ്പ യുും രലിശയുും നിശ്ചിത തീയതി ഡി. കമ്പനിയുടെ സ്വർണ്ണത്തിടെ

ുണനിലവാരവുമായി ബന്ധടെട്ട് ഏടതങ്കിലുും വയവസ്ഥ

ഇ. പ്രസ്തുത ള ാൾഡ് ടസ്കയൂരിറ്റിയുടെ മൂലയും കാലാകാലങ്ങളിൽ അടല്ലങ്കിൽ മളറ്റടതങ്കിലുും

എഫ്. മൂലയനിർണ്ണയക്കാരനുും ഞാനുും തമ്മിൽ എടന്ത്ങ്കിലുും ൂഢാളലാെന നെന്ന രിഴവുമാകുകളയാ അടല്ലങ്കിൽ കമ്പനിക്ക് ഇക്കാരയത്തിൽ നയായമായ സ്ുംശയും ളതാന്നുകളയ

ജ്ി. എനിളക്കാ അടല്ലങ്കിൽ ഏടതങ്കിലുും ടസ്കയൂരിറ്റിക്ക് എതിടരളയാ എടന്ത്ങ്കിലുും അറ്റ െുമത്തിയിട്ടുടണ്ടങ്കിൽ.

29.. ആർബിഐ മാർഗ്ഗനിർളേശങ്ങൾ അനുസ്രിച്ച്, അക്കൗണ്ടുകടള NPA ആയി തരുംതിരിച്ചി ഞാൻ സ്മ്മതിക്കുന്നു. കമ്പനിടയ NPA ആയി വർഗ്ഗീകരിക്കണും, കമ്പനിയുമായുള്ള കെും വ രുറത്തിറക്കിയ മാർ നിർളദശങ്ങൾ പ്രകാരമാണിത്. അത്തരും സ്ന്ദർഭങ്ങളിൽ, അത്തര കമ്പനിയിൽ നിന്ന് ളനെിയ എല്ലാ വായ്പ കളുും തിരിച്ചുവിളിക്കാൻ ബാങ്കിന് അർഹതയുണ്ട്. 30. ഇനിെറയുന്നവ ഞാൻ ഇതിനാൽ പ്രഖ്യാരിക്കുകയുും സ്ഥിരീകരിക്കുകയുും ടെയ്യുന്നു: (എ) ഞാൻ ഒരു ഇന്ത്യൻ രൗരനാണ്.

(ബി) ഞാൻ ടസ്കയൂരിറ്റിയായി നിളക്ഷരിച്ച/നിളക്ഷരിളക്കണ്ട സ്വർണ്ണും അരാകളമാ വയാജ്ളമ ളപ്രാെർട്ടി ആണ്, മടറ്റാരാൾക്കുും ഇതിടനതിടര അവകാശവാദമില്ല.

(സ്ി) അളരക്ഷാ ളഫാമിൽ രറഞ്ഞിരിക്കുന്ന ആവശയത്തിന് മാപ്തമായി ഞാൻ ളലാൺ വ ഉളേശയങ്ങൾ ഉൾടെടെയുള്ള മളറ്റടതങ്കിലുും ആവശയങ്ങൾക്ക് അടല്ലങ്കിൽ സ്വർണ്ണും ഉരളയാ ിക്കില്ല.

(ഡി) കമ്പനി നിർളേശിളച്ചക്കാവുന്ന ളമൽെറഞ്ഞ എല്ലാ പ്രഖ്യാരനങ്ങളുും അണ്ടർളെക്കിും ുക എനിക്ക് വായ്പ യായി ലഭിച്ച തുക…Rs. ………………………………………………… ഞാൻ തിരടഞ്ഞെുത്ത സ്കീമിടെ രലിശ നിരക്ക്:........................................%. കാലയളവ്........................................................ ളപ്രാസ്സ്സിും ് ഫീസ്്....... ………………… …. മറ്റ് ൊർജ്ുകൾ...........................................................

ഒെ്: ളരര്: വിലാസ്ും: തീയതി: സ്ഥലും:

അളരക്ഷാ ളഫാമിൽ നൽകിയിട്ടുള്ളതായിരിക്കണും. വിലാസ്ത്തിൽ എടന്ത്ങ്കിലുും മാറ്റും യുും ടെയ്യുന്നിടല്ലങ്കിൽ, ളലാൺ അളരക്ഷയിൽ നൽകിയിരിക്കുന്ന വിലാസ്ത്തിൽ കെും ക്കഷ്ടെ സ്ാധുവായ രസ്ീത് / സ്വീകാരയതയ്ക്ക് തുലയമായിരിക്കുും. ആശയവിനിമയും നമ്പറിളലാ എടന്ത്ങ്കിലുും മാറ്റങ്ങടളക്കുറിച്ച് വായ്പ ടയെുക്കുന്നയാൾ കമ്പനിടയ കൃതയമായി ി വായ്്‌രക്കാരടന ളഫാണിൽ ബന്ധടെൊടമന്ന് കെും വാങ്ങുന്നയാൾ മനസ്സിലാക്കുകയുും ന്നു. ഭാവിയിടല ഉരളയാ ത്തിനായി അത്തരും സ്ുംഭാഷ്ണങ്ങളുും കമ്പനി ടറളക്കാർഡ്

ാൾ രരാജ്യടെട്ടാൽ, കമ്പനിക്ക് അതിടെ സ്വന്ത്ും വിളവെനാധികാരത്തിൽ, നിർേിഷ്ട ധയമായി വായ്പ ക്കാരടെ രണയും ടവച്ച സ്വർണ്ണും നൽകാും.

ഉൾടെടെ), വിൽെന നികുതി/വാറ്റ്, നികുതികൾ, മടറ്റല്ലാ ടെലവുകളുും ടെലവുകളുും െും വാങ്ങുന്നയാൾ വഹിക്കുകയുും അെയ്ക്കുകയുും തിരിടക നൽകുകയുും ടെയ്യുും. ഇതിൽ ായ്പ തിരിടച്ചെുക്കലുും യാഥാർത്ഥയമാക്കലുും; (സ്ി) സ്ുരക്ഷാ നിർവ്വഹണും; (ഡി) ടസ്കയൂരിറ്റി, കളുടെയുും മളറ്റടതങ്കിലുും ൊർജ്ുകളുടെയുും ടലവികളുടെയുും കുെിശ്ശിക ലിയറൻസ്്.

മറ്റ് ഏജ്ൻസ്ികൾക്കു വായ്പ ടയക്കുറിച്ച് ടവളിടെെുത്താൻ കമ്പനിക്ക് അവകാശമുണ്ട്.

യവയതയാസ്ങ്ങളുും കൂൊടത/അടല്ലങ്കിൽ ടലയിമുകളുും, 1996-ടല ആർബിളപ്െഷ്ൻ ആൻഡ് ങ്കിലുും നിയമാനുസ്ൃത ളഭദ തികൾ അനുസ്രിച്ച്, വയവഹാരും വഴി തീർൊക്കുും. കമ്പനി അത്തരത്തിലുള്ള മദ്ധയസ്ഥൻ നൽകുന്ന അവാർഡ് അന്ത്ിമവുും വായ്പ ക്കാരനുും കമ്പനിക്കുും

കാലയളവുും അതിടെ എല്ലാ രുതുക്കലുകളുും വടര സ്ാധുതയുള്ളതുും പ്രാബലയത്തിൽ അളത സ്വർണ്ണാഭരണങ്ങൾക്ക് ളൊെ് അെ് ളലാണുകൾ നൽകാൻ ഞാൻ കമ്പനിടയ ളലാ സ്മർെിക്കാും. അത്തരും വായ്പ കൾ എനിക്ക് ഒരു പ്രളതയക അക്കൗണ്ടായി നൽകുന്നതിന്

നെത്താൻ ഞാൻ കമ്പനിടയ അധികാരടെെുത്തുന്നു. RTGS/NEFT/IMPS/CASH അഭയർത്ഥന RBI ഞാൻ മനസ്സിലാക്കുന്നു. ഞാൻ നൽകിയ ടതറ്റായ വിശദാുംശങ്ങളിൽ നിന്ന് ഉണ്ടാകുന്ന കൂെി സ്മ്മതിക്കുന്നു. കയാഷ്് പ്കമാറ്റും 20000/ രൂര രരമാവധി രരിധിയ്ക്ക് വിളധയമാടണന്ന്

ഇളൊളഴാ ഇനിളയാ പ്രസ്തുത വായ്പ ാ സ്ൗകരയത്തിന് കീഴിൽ അെയ്ക്കടെൊടത ്‌ ളശഷ്ിക്കുന്ന ും. ളമൽെറഞ്ഞ ഡിമാൻഡ് ളപ്രാമിസ്റി ളനാട്ടിടെ അവതരണത്തിനുള്ള എടെ/ഞങ്ങളുടെ ന്റ് ആക്റ്റ് 1881-ടല ടസ്ക്ഷൻ 98(എ) പ്രകാരമുള്ള ടെക്ക് റിളട്ടൺ ളനാട്ടീസ്് നൽകണടമന്ന് ത്തിൽ, കമ്പനി അതിടെ സ്വന്ത്ും വിളവെനാധികാരത്തിൽ എടന്ന ബാധയതയിൽ നിന്ന്

കുന്ന രരാജ്യും അടല്ലങ്കിൽ വായ്പ തിരിച്ചെയ്ക്കാനുള്ള എടെ ളശഷ്ിടയ അടല്ലങ്കിൽ എടെ രയളമാ സ്ുംഭവളമാ സ്ുംഭവിക്കുകയാടണങ്കിൽ.

ായളതാ ടതറ്റിദ്ധരിെിക്കുന്നളതാ ആടണന്ന് കടണ്ടത്തിയാൽ

ികളിൽ തിരിച്ചെച്ചിടല്ലങ്കിൽ.

സ്ഥാരരമായ തട്ടിെ് കടണ്ടത്തിയാൽ.

ും കാരണത്താൽ ബാധകമായ കമ്പനിയുടെ ആവശയമായ മാർജ്ിളനക്കാൾ കുറവാടണങ്കിൽ.

ന്നിട്ടുടണ്ടന്ന് കടണ്ടത്തിയാൽ, യാ ടെയ്ത ാൽ.

സ്വർണ്ണാഭരണങ്ങളുടെ

മൂലയനിർണ്ണയും

വഞ്ചനാരരവുും

റ്റാച്ച്ടമൻറ്, ളലശും, നിർവ്വഹണും അടല്ലങ്കിൽ മറ്റ് പ്രപ്കിയകൾ നെെിലാക്കുകയാടണങ്കിൽ/

ിരിക്കുന്നത് കെും വാങ്ങുന്നയാൾ അെിസ്ഥാനമാക്കിയാടണന്നുും അക്കൗണ്ട് തിരിച്ചടല്ലന്നുും വാങ്ങുന്നയാളുടെ മടറ്റല്ലാ ളലാൺ അക്കൗണ്ടുകളുും NPA ആയി വർഗ്ഗീകരിക്കുും. ആർബിഐ രും അക്കൗണ്ടുകളിടല രതിവ് തിരിച്ചെവ് രരി ണിക്കാടത തടന്ന, അളത ഉരളഭാക്താവ്

മാ നിലവാരും കുറഞ്ഞളതാ അടല്ലന്ന് ഞാൻ സ്ഥിരീകരിക്കുന്നു. ഇത് എടെ ളബാണപ്ഫഡ്

വിനിളയാ ിക്കുും, കൂൊടത ഏടതങ്കിലുും ഊഹക്കച്ചവെളമാ സ്ാമൂഹിക വിരുദ്ധളമാ ആയ വാങ്ങുന്നതിളനാ സ്വർണ്ണത്തിടെ ഊഹക്കച്ചവെത്തിൽ നിളക്ഷരിക്കുന്നതിളനാ വായ്പ

കളുും മറ്റ് വയവസ്ഥകളുും ഞാൻ നിർവ്വഹിക്കുകയുും അതിന് വിളധയനാവുകയുും ടെയ്യുും.

Declarations cum Terms an

I have today availed a loan from Lulu Financi mentioned as Company or Lulu Finserv) agains

I (hereinafter mentioned as borrower) hereby conditions with regard to the loan.

1. The Borrower confirms to have fully rea by the Company and based thereon, the Loan under the scheme (with interest ra

2. The Borrower confirms that the stones any, do not have any market value and absolute and own property of the Bor interest or claim thereon. 3. The Borrower confirms that all particula correct and no information has been h Company shall have no liability f erroneous/misleading details provided b solely liable. The Company may sanctio for such purpose(s), as set out in the ap 4. The Loan given to me shall be depende time to time. The borrower agrees to a Loan scheme of the Company. The default interest and such other charges are hereinafter collectively termed as “D 5. The borrower confirms that my owne deposited by me as security is not de inferior quality as it has been acquired b is my Bonafede property and no other p 6. The borrower agrees that the valuation an independent appraiser or the emplo be determined by the company on the b 7. The Borrower shall pay interest at the ra applicable to the loan. When interest is be compounded on a monthly basis. In year on the amount outstanding. If the tenure, as specified in the pawn ticke additional interest @2% (per month) aft pawn ticket on the amount of loan plus the date of the loan till the account is clo

nd Conditions of Gold Loan.

ial Services (India) private limited (hereinafter st pledge of gold ornaments owned by me.

y agree to abide by the following terms and

ad and understood the various schemes offered e Borrower has requested/selected to avail the ates as applicable) as mentioned in pawn ticket.

s fixed in the pledged gold ornaments/items, if that the said gold ornaments /items is/ are the rrower and no other person has any right or

ars/details given in the applications are true and hidden. The Borrower acknowledges that the for any consequence arising out of any by the Borrower for which the Borrower shall be on loan amount as the Company may deem fit, pplication form. ent on the internal policies of the Company from abide by the terms and conditions of the Gold Loan along with interest, compound interest, as are/may be payable by me to the Company Dues”. ership to the Gold Security deposited/to be efective in any manner nor is it spurious or of by me from true sources, is genuine gold. This person has any claim, lien against it. of the gold /Gold Ornaments shall be done by oyees of the company. The loan amount shall basis of the value certified by such appraisal. ate specified in the Pawn ticket and charges as not paid at monthly intervals, the interest shall nterest will be calculated taking 365 days in a e loan is not repaid on demand within the loan et, the Company shall have the right to levy ter expiry of the loan tenure, as specified in the interest in default. Interest will be payable from losed, both dates inclusive.

8. The loan is based on the weight, purity, 9. The Company will make only a prelimin further check the purity / weight of the G if required, at the sole discretion of the co The Company shall, at its discretion, ha portion of the Gold, at any time during t 10. Notwithstanding anything mentioned dues/outstanding under the Loan inc immediately on demand, if the Compan the whole or part of the Gold is not of th of the Borrower to the Gold is found de person. The certificate issued by the Co converting the same to 22 carat is bas time of granting the loan and may be tre 11. The period of Loan is as mentioned in repay the loan along with interest on or tenure is mentioned in the pawn ticket. H foreclose the loan at any time during the amount along with interest and other Similarly, the Company may, at its sole a extend the tenure of the loan for such date of disbursement of the loan. Borro or interest at any time during the period be mentioned in the pawn ticket. Not Company shall be entitled to recall / can assigning any reasons and thereafter th the Company. 12. The postage charges, as revised from t shall be collected from the respective a 13. The borrower agrees that the company ornaments & gold any amount inclus appraised value of the said Gold. Comp from time to time at its sole discretions. 14. If full repayment of the loan, along with period of the loan (as specified in the pa by the Company, the Company shall ha Gold through public auction at the re Borrower, out of his/her free will, autho auction at any time after 2 weeks from address and adjust from the net procee and other charges, due to the Compan on such sale, the Company shall have any other liability of the Borrower, s

, and existing market value of the Gold. nary verification of the Gold and has the right to Gold internally or by experts at any point of time ompany. The borrower will bear the expenses. ave the right to open the packets, melt all or any the period of the Loan. here, the Borrower shall repay the entire cluding principal, interest and other charges, ny observes, after verification by experts, that he prescribed weight / purity or if the ownership efective or if the same is disputed by any other ompany stating the exact grams of the gold after sed on the preliminary verification made at the eated as provisional and not final. n the pawn ticket. The Borrower is required to before the completion of loan tenure. The loan However, the Borrower shall have the option to e period of the loan by paying the principal loan Incidental charges as applicable to the loan. and absolute discretion, have the right to further periods, but not exceeding one year from the ower can also make part payments of principal d of the loan. Pre-payment charges, if any, will twithstanding anything mentioned herein, the ncel the Loan at any time at its discretion without he Dues shall immediately become payable to

time to time at the discretion on the Company, account. y shall not be required to lend against the said sive of interest exceeding 75% of the net pany shall be at liberty to vary the said margin . h interest and charges, is not made within the awn ticket) or within such period as demanded ave the right to sell or otherwise dispose of the esponsibility and cost of the Borrower. The orizes the Company to sell the Gold by public the date of notice to the Borrower at the given eds of such sale, all amounts, including interest ny in respect of the loan. If there is any surplus e the right to appropriate such surplus towards solely or jointly with others, on any account

whatsoever, to the Company at any of appropriation, shall be refunded to the any shortfall after disposal of the Gold, legal proceedings against the Borrower 15. Notwithstanding anything referred abo discretion, that the estimated realizable total amount due by way of principal, Company reserves the right to sell the period of the loan after serving a registe 16. The Company shall intimate the Borrowe or telephone or personal intimation or e intention to sell the Gold in public auc auction shall be conducted as per the g Authorities from time to time. The list o and venue for auction shall be display Website and shall also be published a Regulatory Authorities from time to time 17. In the event of loss of pledged Gold due the custody of the Company, the liability value of the lost Gold. 18. The Company shall have the right to ex this loan to secure the repayment of any until such other liability is fully settled. the Borrower by letter, courier service, communication. 19. The Company may effect changes pros due intimation to the Borrower. The Bor the date of such intimation in case the acceptable to the Borrower. 20. The Company shall have the right to ass necessary Loan or financial facility fro organizations or for any other lawful pur 21. The address for all communications to loan application form by the Borrower. U by the Borrower to the Company in writin sent to the Borrower in the address tantamount to valid receipt / acceptance The Borrower shall also keep the Com recorded landline phone or mobile pho Borrower understands and agrees that phone to pass on transactional as w Borrower consents for the same. It is als such conversation may also be recorde

f its offices. The net surplus, if any, after such Borrower within 30 days of auction. In case of , the Company shall have the right to resort to r to recover the shortfall. ove, if the Company is convinced, at its sole e value of the gold at any time is less than the , interest and other charges on this loan the e gold by public auction at any time during the ered notice to the Borrower. er by registered letter or courier service or SMS e-mail or any other mode of communication its ction, before the proposed auction date. The guidelines issued by the concerned Regulatory of accounts put to auction along with the date yed at the concerned branch of the Company, as per the guidelines issued by the concerned e. e to theft, burglary or for any other reasons from y of the Company shall be limited to the market

xercise lien on the Gold offered as security for y other liability of the Borrower to the Company, Exercise of such lien will be duly intimated to email, SMS, telephone, or any other mode of

spectively in the interest rate, charges etc. after rrower agrees to settle the loan within 7 days of e revised rate of interest, charges etc are not

sign or transfer or securitize the rights to obtain om any Bank or Financial Institution or other rpose, at any time during the period of the loan. the Borrower shall be the one furnished in the Unless any change of address is duly intimated ng and duly acknowledged, any communication s furnished in the loan application shall be e of the communication sent by the Company. mpany duly intimated about any changes in the one number to facilitate communications. The t the Company may contact the Borrower over well as promotional communication and the so understood and agreed by the Borrower that ed by the Company for future use.

22. In the event the Borrower fails to produc Company may, at its sole discretion, completion of the prescribed formalities 23. The Borrower shall bear, pay, and reimb administration, interest tax, service tax and taxes and all other costs and expen grant and repayment of the Loan; (b) re interest; (c) enforcement of Security ; (d charges and levies of the Governmen Security. 24. The Company shall have the right to Information Bureau of India Ltd. (CIBIL) 25. All disputes, differences and/or claims a during its subsistence or thereafter, sha the provisions of the Arbitration an amendments thereof and shall be refer appointed by the Company. The award binding on the Borrower and the Compa 26. This Declaration has been made by me force till the entire period of the loan an 27. I hereby authorize the company to carry as per detailed mentioned in RTGS/NEFT/IMPS/CASH request is su governing the same. I further acknowle any consequences arising out of err understand that the CASH transfer is su 28. That, Demand Promissory note execute to you to be enforceable for the repaym remaining unpaid under the said loan fa my/our rights of the presentment of th further request you to note to dispens section 98(a) of Negotiable instrument a being made on demand by me, comp payment to me without discharging me 29. The Following shall be termed as defau a. Failure on my part to perform circumstance or event occurs w the loan or any part thereof my o b. If any of the statements or parti misleading c. If the loan and interest is not r specified by the company.

ce the pawn ticket at the time of settlement, the give the pledged Gold of the Borrower after and subject to payment of processing charges. burse all present and future charges relating to x, duties (including stamp duty), sales tax/VAT nses. These includes (a) application for and the ecovery and realization of the loan together with d) clearance of arrears of all taxes and any other nt in respect of Security and (e) insuring the

o make disclosure about the loan to Credit ) or such other similar agencies. arising out of or touching upon this loan, whether all be settled by arbitration in accordance with nd Conciliation Act, 1996, or any statutory rred to the Arbitration of a Sole Arbitrator to be given by such Sole Arbitrator shall be final and any. The venue of arbitration shall be in Kerala. e unconditionally and shall remain valid and in nd all renewals thereof. out the RTGS/NEFT/IMPS/CASH transaction the application. I understand the ubject to RBI regulations and the guidelines edge that the company accepts no liability for roneous details provided by me. I further ubject to Rs. 20000/ maximum limit. ed by me shall operate as continuing security ment of the ultimate balance or all such sum acility now or hereafter. I do hereby also waive he aforesaid Demand Promissory Note and se with a notice of cheque return in terms of act 1881, and that in the event of payment not pany may at its sole discretion give time for from liability. ult. any of the obligations hereunder or If any which adversely affects my capacity to repay obligations. iculars made by me herein are found false or

repaid on the due dates as per the timeline

d. Upon detection of any systemic company. e. If the value of the said Gold Se company as applicable from tim f. If it is discovered that there is a resulting in a fraudulent and erro company has a reasonable susp g. If any attachment, distress, exec the security is enforced/levied u 30. I agree that, as per RBI guidelines, Borrower wise and not account wise an payment of dues by the customer in ca is to be classified as NPA, all other loan also shall be classified as NPA. This is cases it shall entitle the Bank to recall from company, irrespective of the regul 31. I hereby declare and confirm the followi (a) I am a citizen of India. (b) I confirm that the Gold deposited/to b nor is it spurious or of inferior quality source. It is my Bonafede property, a it. (c) I shall utilize the Loan solely for the p Loan will not be used for any other p purpose, or for the purchase of gold o (d) I shall perform and am bound by all any further conditions as may be pres Loan Availed by me Rs:………………………… The Gold loan scheme selected by me: ……… Period of the Loan: ……………………………… Processing fees: Rs……………………………… Other Charges: …………………………………… Signature: Name: Address: Date: Place:

c fraud in relation to the quality of the gold by

ecurity falls lower than the required margin of me to time or any other reason. any collusion between the appraiser and me or valuation of gold ornaments, or in case the picion in this regard. cution, or other process against me or any of upon. classification of accounts as NPA is done nd hence, it may be noted that in case of nonase of any account availed from the company n accounts of the Borrower with the company as per the guidelines issued by RBI. In such all such loans availed by the same customer lar repayment in such accounts. ing:

be deposited by me as security is not defective y as it has been acquired by me from genuine and no other person has any claim, lien against

purpose stated in the application form and the purpose including any speculative or anti-social or investment in speculation of gold. the above declarations and undertakings and scribed by the Company. ………………. …………………………………………………. ………………………… ………………………… ………………………

BRANCH: --------------------------------

To, Credit Department Head Office Vazhakkala

Utilization Certificate

Name of the Borrower--------------------------------

Address of Business Premises: -------------------

-------------------------------------------------------------

Date of Disbursal. ----------------------------------Lo

I Mr/Ms.---------------------------------------------------

do hereby certify that I have today visited the b

the stock/assets in the shop and confirm that

purchase of stock/assets. The approximate va

------------------------------------------Name and signature of the Staff. Place: Date:

DATE: ……………………….

e for Business Loan

------------------Loan A/c No---------------------------

------------------------------------------------------------

-------------------------------------------------------------

oan Amount. ------------------------------------------

-Emp ID------------------------Br.---------------------

business premises of the borrower and verified

t the borrower has utilized the loan funds for

alue of stock in the shop is Rs. --------------------.

Field Verifica Business Premises Photo 1 (Front Side)

Business Prem (Another Angle

Name & Designation of visiting officia

Date & time of Visit: ---------------------1 2 3 4

Details Loan Scheme applied for Name of Applicant Mobile Number Permanent address

5 6

Whether customer is residing here Business Name & Address

7 8

Name of the owner of premises Whether the business address is tallying with that in the licence and traceable Landmark to locate the address Distance from the Branch Business activity of the applicant

9 10 11 12 13 14 15 16 17 18 19 20

Running the business in the location since (Give date) Approximate stock in the premises Approximate daily income from the business (Rs) Approximate monthly income from the business/Service Approximate monthly expense Monthly profit (Rs) Monthly affordable EMI (Rs) Number of employees in the shop. Recommendation

Signature of visiting official

Name

ation Report

mises Photo 2 e)

Business Premises Photo 3 (with customer & verifying official)

al: --------------------------------------------

------------------------------------------------

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ബിസിനസ്സ് ലോൺ സംബന്ധമായ അന്വേഷണങ്ങൾ കൈകാര്യം ചെയ്യേണ്ടതെങ്ങനെ?

നിലവിലുള്ള വായ്പകൾ ഉദ്ദേശിക്കുന്ന വായ്പ തുക എത്രയാണെന്ന് ആരായുക. മറ്റേതെങ്കിലും ധനകാര്യ സ്ഥാപനങ്ങളിൽ നിന്ന് ഈ ബിസിനസ്സ് നടത്തിപ്പിനായി വായ്പ എടുത്തിട്ടുണ്ടോ എന്ന് ഉറപ്പാക്കുക. ഉണ്ടെങ്കിൽ മറ്റൊരു വായ്പ അതേ ആവശ്യത്തിനായി ലഭിക്കുന്നതല്ല എന്ന് ആദ്യമേ വ്യക്തമാക്കുക. വായ്പാ വിവരങ്ങൾ cibil റിപ്പോർട്ടിൽ നിന്ന് നമുക്കറിയാനാകും എന്ന് അവരെ ധരിപ്പിക്കുക.

കച്ചവട സംബന്ധമായ ലൈസൻസുകൾ/ മറ്റു രേഖകൾ പഞ്ചായത്ത്‌-മുനിസിപ്പാലിറ്റി ലൈസൻസ് / ഭക്ഷ്യ

സുരക്ഷ ലൈസൻസ്/വാടക ചീട്ട് എന്നിവ വാങ്ങുക. അപേക്ഷകരുടെ ആരുടെയെങ്കിലും പേരിൽ വസ്തുവും വസ്തുവിന്റെ കരം അടച്ച രസീതും ഉണ്ടെന്ന് ഉറപ്പാക്കുക. എങ്കിൽ മാത്രമേ നമുക്ക് വായ്പ അനുവദിക്കാൻ കഴിയൂ.

KYC രേഖകൾ / സിബിൽ സ്കോർ മേല്പറഞ്ഞ കാര്യങ്ങൾ ഉറപ്പാക്കിയശേഷം അപേക്ഷകന്റെ ആധാർ /പാൻ കാർഡ് എന്നിവ വാങ്ങി അപേക്ഷകന്റെ സമ്മതപത്രം സഹിതം H O യിലേക്ക് അയക്കുക. ആവശ്യമായ ചുരുങ്ങിയ സ്കോർ 650 ആണ് എന്ന് അവരെ ധരിപ്പിക്കുക. Co-applicant ന്റെ KYC രേഖകളും ലോൺ അനുവദിച്ചാൽ വേണ്ടിവരും എന്ന് പറയുക

ഫീൽഡ് വെരിഫിക്കേഷൻ സിബിൽ സ്കോറും നിലവിലെ മാസഗഡുക്കളും നോക്കി, വായ്പ നൽകാമെന്ന് HO യിൽ നിന്ന് അറിയിപ്പ് കിട്ടിയാൽ അപേക്ഷകന്റെ വീടും കടയും സന്ദർശിച്ച് ഫോട്ടോ ഉൾപ്പെടെയുള്ള റിപ്പോർട്ട്‌തയ്യാറാക്കുക. പറ്റുമെങ്കിൽ കടയും പരിസരവും വീഡിയോ call ൽ ക്രെഡിറ്റ്‌ ഹെഡിനെ കാണിക്കുക. അതിനു ശേഷം വായ്പ തുക തീരുമാനിച്ച് അറിയിക്കുന്നതാണ്.

മറ്റു കാര്യങ്ങൾ

Lcode ലെ വിവരങ്ങളും രേഖകളും നോക്കി വായ്പ അനുവദിച്ചതിനു ശേഷം ലോൺ എഗ്രിമെന്റ് തയ്യാറാക്കി അയക്കുക. കസ്റ്റമറിന്റെ അക്കൗണ്ടിലേക്ക് വായ്പ തുക നിക്ഷേപിക്കുന്നതാണ്. വായ്പ നൽകി ഒരാഴ്ചക്കുള്ളിൽ കട പരോശോദിച്ച ശേഷം ഒരു utilization സർട്ടിഫിക്കറ്റ് H O യിലേക്ക് അയക്കേണ്ടതാണ്.

LULU FINSERV-CREDIT DEPARTMENT

BACK TO BASICS #3. സിബിൽ സ്കോർ. ഇക്കാര്യങ്ങൾ ഓർക്കുക ഗോൾഡ് ലോൺ ഒഴികെ മറ്റു വായ്പ അന്വേഷണങ്ങളിൽ നാം ആദ്യം നോക്കുന്നത് അപേക്ഷകന്റെ സിബിൽ സ്കോർ ആണ്. നാം നിശ്ചയിച്ചിരിക്കുന്ന മിനിമം സ്കോർ 650ആണ്. ഒരു സിബിൽ സ്കോർ അന്വേഷണത്തിന് നമുക്ക് 150 രൂപ ചിലവ് വരുന്നുണ്ട്. എന്നാൽ ലോൺ കൊടുക്കാൻ പറ്റാത്ത കേസുകളിൽ ഈ ചിലവ് കമ്പനിക്ക് നഷ്ടമാണ്. അതിനാൽ സിബിൽ സ്കോർ അന്വേഷണത്തിനായി അയക്കുന്നതിനു മുൻപ് ലോൺ സ്കീം പ്രശ്കാരമുള്ള മറ്റു നിബന്ധനകൾ പാലിക്കുന്നുണ്ട് എന്ന് ഉറപ്പാക്കുക.

ഏതു ധനകാര്യ സ്ഥാപനവും നടത്തുന്ന cibil enquiry കസ്റ്റമറുടെ സിബിൽ സ്കോറിനെ ബാധിക്കും. അതിനാൽ പിന്നീട്ണ്ടായേക്കാവുന്ന പരാതികൾ ഒഴിവാക്കാൻ സിബിൽ റിപ്പോർട്ട്‌ എടുക്കുന്നതിനു മുൻപ് കസ്റ്റമറുടെ സമ്മതപത്രം വാങ്ങി അയക്കേണ്ടതാണ്.

ഏതു ധനകാര്യസ്ഥാപനത്തിൽ നിന്നും കസ്റ്റമർ എടുത്തിട്ടുള്ള വായ്പകളുടെയും മാസ ഗഡുക്കളുടെയും വിവരങ്ങളും ഒരു വർഷത്തിനുള്ളിൽ മറ്റു ധനകാര്യ സ്ഥാപനങ്ങൾ നടത്തിയിട്ടുള്ള enquiry കളുടെയും വിവരങ്ങളും റിപ്പോർട്ടിൽ നിന്നും ലഭിക്കും. ഈ വിവരങ്ങളുടെ അടിസ്ഥാനത്തിലാണ് വായ്പ അനുവദിക്കാമോ ഇല്ലയോ എന്ന് തീരുമാനിക്കുന്നത്.

ഗോൾഡ് ലോൺ ഒഴികെ മറ്റെല്ലാ ലോണുകൾക്കും സിബിൽ സ്കോർ ബാധകമാണ്. എന്നാൽ കസ്റ്റമർ വിവിധ ധനകാര്യ സ്ഥാപനങ്ങളിൽ നിന്നും എടുത്തിട്ടുള്ള എല്ലാ ഗോൾഡ് ലോണുകളും റിപ്പോർട്ടിൽ കാണും. ഗോൾഡ് ലോണുകളുടെ കൃത്യമായ തിരിച്ചടവുകൾ സിബിൽ സ്കോർ മെച്ചപ്പെടുത്താൻ കസ്റ്റമറെ സഹായിക്കും.

ഏതൊരു ഇന്ത്യൻ പൗരനും വർഷത്തിൽ ഒരു സിബിൽ റിപ്പോർട്ട്‌സൗജന്യമായി cibil.com എന്ന വെബ്സൈറ്റിൽ നിന്ന് ഡൌൺലോഡ് ചെയ്യാവുന്നതാണ്. കസ്റ്റമർക്കു വേണ്ടി ബ്രാഞ്ചുകൾക്കും ഇത് ചെയ്‌തുകൊടുക്കാനാകും.

നമ്മൾ എടുക്കുന്ന സിബിൽ റിപ്പോർട്ട്‌ഒരു കാരണവശാലും കസ്റ്റമർക്ക് ഷെയർ ചെയ്യാൻ പാടില്ല എന്ന കാര്യം ഓർക്കുക.

LULUFINSERV-CREDIT DEPARTNENT

BACK TO BASICS # 4

സ്വർണവായ്പ- മറ്റ് ധനകാര്യ സ്ഥാപനങ്ങൾ ഗ്രാമിന് കൂടുതൽ റേറ്റ് കൊടുക്കുന്നതെങ്ങിനെ? ബ്രാഞ്ചുകൾ പലപ്പോഴും ആവശ്യപ്പെടുന്ന ഒരു കാര്യമാണ് മറ്റു ചില ധനകാര്യ സ്ഥാപനങ്ങൾ ചെയ്യുന്നതുപോലെ നമുക്കും സ്വർണവായ്പകളിൽ ഗ്രാമിന് കൂടുതൽ റേറ്റ് കൊടുത്തുകൂടേയെന്ന്. ചില ധനകാര്യ സ്ഥാപനങ്ങളുടെ പരസ്യങ്ങളിൽ ഗ്രാമിന് 4300 രൂപ വരെ ലഭ്യമാണെന്നുള്ള ഓഫറുകൾ കാണാറുണ്ട്. ഗോൾഡ് ലോൺ LTV യെപ്പറ്റി നമ്മുടെ ട്രെയിനിങ് ക്ലാസ്സുകളിലും, Credit Snippets, SOP എന്നിവകളിലും വളരെ വിശദമായി നമ്മൾ ചർച്ച ചെയ്തിട്ടുള്ളതാണ്. RBI നിബന്ധനപ്രകാരം 30 ദിവസത്തെ ആവറേജ് സ്വർണവിലയുടെ 75% മാത്രമേ വായ്പയായി നൽകാവൂ എന്ന കാര്യം നമുക്കെല്ലാവർക്കും അറിയാം. എന്നാൽ മറ്റു സ്ഥാപനങ്ങൾ ഇതിൽ കൂടുതൽ എങ്ങിനെ നൽകുന്നു എന്ന് നോക്കാം. ആദ്യമായി അറിയേണ്ടത് ഈ LTV നിബന്ധന കൃഷിവായ്പകൾക്ക് ബാധകമല്ല എന്നതാണ്. അതിനാൽ സ്വർണം ഈടായി സ്വീകരിച്ചു് പല ബാങ്കുകളും സ്വർണ്ണവിലയുടെ 85% വരെ കൃഷിവായ്പയായി നൽകാറുണ്ട്. ഇത്തരം കൃഷിവായ്പകൾക്ക് പലിശയും കുറവാണ്‌. എന്നാൽ ഒരുകാര്യം ഓർക്കേണ്ടത് ഇത്തരം വായ്പകൾ പലവിധ നിബന്ധനയ്ക്കും വിധേയമാണ് എന്നതാണ്. കസ്റ്റമറുടെ പേരിലുള്ള വാസസ്ഥലം, കൃഷിസ്ഥലം, കൃഷിചെയ്യുന്ന സ്ഥലത്തിന്റെ വിസ്തീർണം എന്നിവയുടെ അടിസ്ഥാനത്തിലാണ് വായ്പയുടെ പരിധി നിശ്ച്ചയിക്കുന്നത്. കൂടാതെ വസ്തുവിന്റെ കരമടച്ച രസീത് അപേക്ഷകൻ ഹാജരാക്കേണ്ടതുണ്ട്. ബാങ്കുകൾ അവരുടെ അകെ വായ്പയുടെ 18% കൃഷിവായ്പയായി നിർബന്ധമായും നൽകിയിരിക്കണം എന്ന RBI നിബന്ധനയുണ്ട്. ഈ നിബന്ധന പാലിക്കാൻ കൂടിയാണ് ബാങ്കുകൾ ഒരു സുരക്ഷിത വായ്പ എന്ന നിലയിൽ സ്വർണത്തിന്റെ ഈടിന്മേൽ കുറഞ്ഞ പലിശക്ക് കൂടുതൽ തുക നൽകുന്നത്. എന്നാൽ NBFC കളെ സംബന്ധിച്ച് വായ്പകളെ കൃഷിവായ്പയായി തരം തിരിച്ചുകാണിക്കാനാവില്ല. അതിനാൽതന്നെ NBFC കൾക്ക് 75%ൽ കൂടുതൽ വായ്പയായി നല്കാനുമാവില്ല. ചില NBFC കൾ കൂടുതൽ ഗ്രാം റേറ്റ് നൽകുന്നുണ്ട് എന്ന് നിങ്ങളിൽ ചിലരെങ്കിലും പറയാറുണ്ട്. ഇവിടെയോർക്കേണ്ടത് അത്തരം കമ്പനികൾ NBFC കളല്ലാ പ്രത്യുത Nidhi കമ്പനികളാണ് എന്നതാണ്. പലർക്കും ഒരേ പേരിൽത്തന്നെ NBFC യും Nidhi കമ്പനിയും ഉണ്ടായിരിക്കും. കൂടുതൽ റേറ്റ് വേണ്ടവർക്ക് Nidhi കമ്പനിയുടെ പേരിലായിരിക്കും അവർ വായ്പ നൽകുന്നത്. Nidhi കമ്പനികളെ സംബന്ധിച് അവ RBI നിബന്ധനകൾക്ക് വിധേയമല്ലാത്തതിനാൽ അവർക്കും LTV നിബന്ധന ബാധകമല്ല. ലുലു ഫിൻസെർവ് RBI നിബന്ധനകൾ കൃത്യമായി പാലിച്ചും, വളരെ സുതാര്യമായും പ്രവർത്തിക്കുന്ന ഒരു ധനകാര്യ സ്ഥാപനമാണ്. കസ്റ്റമറുടെ വിലപ്പെട്ട സ്വർണ ഉരുപ്പടികൾ വളരെ സുരക്ഷിതമായിരിക്കും നമ്മുടെ കൈകളിൽ. ഇത്തരം കാര്യങ്ങൾ കസ്റ്റമറെ ബോധ്യപ്പെടുത്തി, അവരിൽ വേണ്ടത്ര അവബോധമുണ്ടാക്കി കൂടുതൽ സ്വർണവായ്പകൾ നൽകുവാൻ ശ്രദ്ധിക്കുമല്ലോ.

Lulu Finserv-Credit Department

BACK TO BASICS # 4

സ്വർണവായ്പ- മറ്റ് ധനകാര്യ സ്ഥാപനങ്ങൾ ഗ്രാമിന് കൂടുതൽ റേറ്റ് കൊടുക്കുന്നതെങ്ങിനെ? ബ്രാഞ്ചുകൾ പലപ്പോഴും ആവശ്യപ്പെടുന്ന ഒരു കാര്യമാണ് മറ്റു ചില ധനകാര്യ സ്ഥാപനങ്ങൾ ചെയ്യുന്നതുപോലെ നമുക്കും സ്വർണവായ്പകളിൽ ഗ്രാമിന് കൂടുതൽ റേറ്റ് കൊടുത്തുകൂടേയെന്ന്. ചില ധനകാര്യ സ്ഥാപനങ്ങളുടെ പരസ്യങ്ങളിൽ ഗ്രാമിന് 4300 രൂപ വരെ ലഭ്യമാണെന്നുള്ള ഓഫറുകൾ കാണാറുണ്ട്. ഗോൾഡ് ലോൺ LTV യെപ്പറ്റി നമ്മുടെ ട്രെയിനിങ് ക്ലാസ്സുകളിലും, Credit Snippets, SOP എന്നിവകളിലും വളരെ വിശദമായി നമ്മൾ ചർച്ച ചെയ്തിട്ടുള്ളതാണ്. RBI നിബന്ധനപ്രകാരം 30 ദിവസത്തെ ആവറേജ് സ്വർണവിലയുടെ 75% മാത്രമേ വായ്പയായി നൽകാവൂ എന്ന കാര്യം നമുക്കെല്ലാവർക്കും അറിയാം. എന്നാൽ മറ്റു സ്ഥാപനങ്ങൾ ഇതിൽ കൂടുതൽ എങ്ങിനെ നൽകുന്നു എന്ന് നോക്കാം. ആദ്യമായി അറിയേണ്ടത് ഈ LTV നിബന്ധന കൃഷിവായ്പകൾക്ക് ബാധകമല്ല എന്നതാണ്. അതിനാൽ സ്വർണം ഈടായി സ്വീകരിച്ചു് പല ബാങ്കുകളും സ്വർണ്ണവിലയുടെ 85% വരെ കൃഷിവായ്പയായി നൽകാറുണ്ട്. ഇത്തരം കൃഷിവായ്പകൾക്ക് പലിശയും കുറവാണ്‌. എന്നാൽ ഒരുകാര്യം ഓർക്കേണ്ടത് ഇത്തരം വായ്പകൾ പലവിധ നിബന്ധനയ്ക്കും വിധേയമാണ് എന്നതാണ്. കസ്റ്റമറുടെ പേരിലുള്ള വാസസ്ഥലം, കൃഷിസ്ഥലം, കൃഷിചെയ്യുന്ന സ്ഥലത്തിന്റെ വിസ്തീർണം എന്നിവയുടെ അടിസ്ഥാനത്തിലാണ് വായ്പയുടെ പരിധി നിശ്ച്ചയിക്കുന്നത്. കൂടാതെ വസ്തുവിന്റെ കരമടച്ച രസീത് അപേക്ഷകൻ ഹാജരാക്കേണ്ടതുണ്ട്. ബാങ്കുകൾ അവരുടെ അകെ വായ്പയുടെ 18% കൃഷിവായ്പയായി നിർബന്ധമായും നൽകിയിരിക്കണം എന്ന RBI നിബന്ധനയുണ്ട്. ഈ നിബന്ധന പാലിക്കാൻ കൂടിയാണ് ബാങ്കുകൾ ഒരു സുരക്ഷിത വായ്പ എന്ന നിലയിൽ സ്വർണത്തിന്റെ ഈടിന്മേൽ കുറഞ്ഞ പലിശക്ക് കൂടുതൽ തുക നൽകുന്നത്. എന്നാൽ NBFC കളെ സംബന്ധിച്ച് വായ്പകളെ കൃഷിവായ്പയായി തരം തിരിച്ചുകാണിക്കാനാവില്ല. അതിനാൽതന്നെ NBFC കൾക്ക് 75%ൽ കൂടുതൽ വായ്പയായി നല്കാനുമാവില്ല. ചില NBFC കൾ കൂടുതൽ ഗ്രാം റേറ്റ് നൽകുന്നുണ്ട് എന്ന് നിങ്ങളിൽ ചിലരെങ്കിലും പറയാറുണ്ട്. ഇവിടെയോർക്കേണ്ടത് അത്തരം കമ്പനികൾ NBFC കളല്ലാ പ്രത്യുത Nidhi കമ്പനികളാണ് എന്നതാണ്. പലർക്കും ഒരേ പേരിൽത്തന്നെ NBFC യും Nidhi കമ്പനിയും ഉണ്ടായിരിക്കും. കൂടുതൽ റേറ്റ് വേണ്ടവർക്ക് Nidhi കമ്പനിയുടെ പേരിലായിരിക്കും അവർ വായ്പ നൽകുന്നത്. Nidhi കമ്പനികളെ സംബന്ധിച് അവ RBI നിബന്ധനകൾക്ക് വിധേയമല്ലാത്തതിനാൽ അവർക്കും LTV നിബന്ധന ബാധകമല്ല. ലുലു ഫിൻസെർവ് RBI നിബന്ധനകൾ കൃത്യമായി പാലിച്ചും, വളരെ സുതാര്യമായും പ്രവർത്തിക്കുന്ന ഒരു ധനകാര്യ സ്ഥാപനമാണ്. കസ്റ്റമറുടെ വിലപ്പെട്ട സ്വർണ ഉരുപ്പടികൾ വളരെ സുരക്ഷിതമായിരിക്കും നമ്മുടെ കൈകളിൽ. ഇത്തരം കാര്യങ്ങൾ കസ്റ്റമറെ ബോധ്യപ്പെടുത്തി, അവരിൽ വേണ്ടത്ര അവബോധമുണ്ടാക്കി കൂടുതൽ സ്വർണവായ്പകൾ നൽകുവാൻ ശ്രദ്ധിക്കുമല്ലോ.

Lulu Finserv-Credit Department

Everything You Must Know Abo

(A CUSTOMER EDUCATION LITERATUR

1. Introduction.

As per Master Direction DNBR.PD.007/03.10 amended as on 29/12/2023 applica DOR.STR.REC.68/21.04.048/2021-22 dated N 21.04.048/2021-22 dated February 15, 2022, N Norms on Income Recognition, Asset Classifica The RBI directives stipulate that every NBFC well-defined credit weaknesses and extent of de classify its loans and advances and any oth namely: (i) Standard assets; (ii) Sub-standar assets.

If an individual is not settling the loans on due then the company classifies the loan accoun Account) and NPA (Non-Performing Asset) classification of SMA and NPA issued by the binding on the borrower. 2. Objective

With a view to increasing the awareness amo covers the concept of SMA, NPA related provis quoted herein are indicative and relate to gene The guidelines issued amended by RBI from tim 3. Definitions.

a) Dues: Dues means the principal /inte which are payable within the period stip b) Overdue: Overdue means the princip account which are payable but have no the terms of sanction of the loan. In o under any loan is ‘overdue’ if it is not pa c) Overdue account: An account is class Finserv under any credit facility is not agreed by borrower as per the loan agr interest or any other amount due (wheth a loan account as “Overdue” shall be th paid by the borrower. d) Days Past Due (DPD): It indicates repayments and if you have missed any by how many days. The counting of D payment due date and the number of d loan account as NPA. In case the due would be considered for the purpose of e) SMA & NPA ACCOUNT: An account is or Non-Performing Account (NPA) base of borrower accounts as SMA as well process for the relevant date and the calendar date for which the day-end

out NPA and SMA Classification

RE FROM LULU FINSERV ON SMA/NPA)

0.119/2016-17 dated September 01, 2016, as able to NBFCs and RBI Circulars November 12, 2021, and DOR.STR.REC.85/ NBFCs are required to comply with Prudential ation, and Provisioning pertaining to Advances. shall, after taking into account the degree of ependence on collateral security for realisation, her forms of credit into the following classes, rd assets; (iii) Doubtful assets; and (iv) Loss

e dates or fails to repay the loan EMIs on time, nt of the individual as SMA (Special Mention ). The laws and guidelines relating to the e RBI and other statutory authorities shall be

ong borrowers of Lulu Finserv, this document sions for ease of understanding. The examples eral scenarios and are not exhaustive in nature. me to time shall prevail for implementation.

erest/any charges levied on the loan account pulated as per terms of sanction of the loan. pal/interest/any charges levied on the loan ot been paid within the period stipulated as per other words, any amount due to the company aid on the due date fixed by the company. sified as “Overdue” if any amount due to Lulu paid on the due date fixed by Lulu Finserv & reement. The amount may refer to principal or her wholly or partly due). The date of classifying he date on which the amount was due but not

whether you have been consistent in your y, how many instalments you have missed and DPD will be considered based on the oldest days falling due shall be counted to classify the e date and billing date are different, the former f calculating the DPD (days past due). classified as Special Mention Account (SMA) ed on days past due (DPD). The classification as NPA shall be done as part of the day-end SMA or NPA classification date shall be the process is run. In other words, the date of

SMA/NPA shall reflect the asset classif that calendar date.

Non-Performing Asset (NPA): The Performing Asset (NPA) where interest for a period of more than 180 days in re

4. Basis for calculation of SMA accoun

There are three SMA sub-categories, i.e

For loans payable in instalments like Durable loans etc.if the borrower fails partially or fully for up to 30 days, then t the borrower fails to repay the amount f the account will be classified as SMA-1 than 60 days and up to 180 days, then as SMA-2.

For gold loans which are repayable in l fails to repay the principal or the interes account will be classified as SMA-0. If t than 30 days and up to 60 days, then t borrower has a loan overdue for more borrower’s loan account will be classifie SMA Sub-categories/ NPA

Basis payme overdu

SMA-0

Up to

SMA-1

More t

SMA-2

More t

NPA

More t

Examples:

SMA 0 – If due date of a loan account is 31st M this date, the account shall be SMA 0 on day e

SMA 1 – If the account continues to remain o SMA-1 upon completion of 30 days of being co

SMA 2 – If the account continues to remain o May 2021.

NPA – If the account continues to remain ove 26th November 2023. If any one of your facil borrowings from Lulu Finserv shall also get cla availed 2 loans from Lulu Finserv and only on loans shall get tagged as “Overdue” even if the

fication status of an account at the day-end of

Loan Account shall be classified as Nonand/ or instalment of principal remains overdue espect of a loan.

nts.

e., SMA-0, SMA-1, and SMA-2

personal loans, Business Loans, Consumer to repay the principal or the interest amount the loan account will be classified as SMA-0. If for more than 30 days and up to 60 days, then 1. If the borrower has a loan overdue for more n the borrower’s loan account will be classified

lumpsum on the loan due date, if the borrower st amount fully for up to 30 days, then the loan the borrower fails to repay the amount for more the account will be classified as SMA-1. If the e than 60 days and up to 180 days, then the ed as SMA-2.

for classification – Principal or interest ent or any other amount wholly or partly ue 30 days

than 30 days and up to 60 days

than 60 days and up to 180 days

than 180 days

March 2023, and full dues are not received on end of 31st March 2023.

overdue, then this account shall get tagged as ontinuously overdue i.e., 30th April 2023.

overdue, it shall get tagged as SMA-2 on 30th

erdue further, it shall get classified as NPA on lities gets classified as SMA/NPA, your other assified as SMA/NPA. For example, if you have ne loan account is in overdue status, both the 2nd loan is duly serviced or is in Current status.

5.

Upgradation of accounts classified a may be upgraded as 'standard' assets o paid by the borrower at the time of runn You can move your account/s out of N the facilities availed by you from Lulu F

6.

Effects of tagging an account as NPA several detrimental impacts on his/her c below: a. Reminders through phone c b. Recall of entire loan amount c. Visits by Collection agents fo d. Legal actions e. Attachment of your property f. Downgrade of your credit sc difficult for you to avail loans

7.

Standard/Sub-Standard/Doubtful Ass

a) Standard asset shall mean the asset in principal or payment of interest is perce or carry more than normal risk attached b) Sub-standard asset shall mean an asse asset for a period not exceeding 18 mo c) Doubtful asset" shall mean a loan whic exceeding 18 months. d) Loss asset shall mean an asset which banking financial company or its intern the applicable NBFC, to the extent it is asset which is adversely affected by a either erosion in the value of security fraudulent act or omission on the part o 8.

Whom can I contact in case of querie

For any account classification related q Office of Lulu Finserv or write to credit@ DISCLAIMER

The information contained herein is generic in only. The examples quoted in the document are are not exhaustive in nature. The guidelines is prevail for implementation.

as NPAs: The loan accounts classified as NPAs only if entire arrears of interest and principal are ning the day-end activity of that particular date. NPA by repayment of ALL the overdues in ALL Finserv.

A. A customer getting classified as NPA has credit profile. Some of the effects are as

calls, SMS, notices sent by the lender t or recovery of dues

y/assets core on Credit bureaus thereby making it s in future

sets:

n respect of which, no default in repayment of eived and which does not disclose any problem d to the business. et which has been classified as non-performing onths. ich remains a sub-standard asset for a period

has been identified as loss asset by the nonnal or external auditor during the inspection of not written off by the applicable NBFC; and an a potential threat of non-recoverability due to y or non-availability of security or due to any of the borrower.

es?

queries, kindly connect with the nearest Branch @lulufinserv.com.

nature and is meant for educational purposes e indicative and relate to general scenarios and ssued amended by RBI from time to time shall

Lulu Financial Se

Fair Prac

[Framed and Approved by B

ervices India (P) Ltd

ctices Code

Board on 29th September 2021]

Fair pr 1.1

Key commitments

The following are the Company's key comm o To provide professional, efficient, cou o Not to discriminate on the basis of re o To be fair and honest in any advertis o To provide customers with accurate liabilities as regards loan transaction o If sought, to provide such assistance o To attempt in good faith to resolve setting up complaint redressal system o To comply with all the regulatory req o Seek to use governance structures t areas of audit, risk management an compensation and other policies that o Seek to confirm that the funds do n labour or generally maintain discrimin

1.2

Application for loan and their

a. A All communications to the custome

language or a language as understoo

b. Loan application forms should includ

of the borrower.

c. All applications shall be serially numb

into the loan origination system whe Customer will be informed of such ag indicate the documents required to b

d. Loan applications shall be process

customer shall be issued a sanction l by the borrower shall be kept by the C the loan agreement and other docum the schedule for interest rates and conditions shall be explained to the c

e. Application fee – In certain produc

refundable Application fee for proc Company will acknowledge the Non-r form / separate letter

ractices code

mitments to customers: urteous, diligent and speedy services. eligion, caste, sex, descent in any manner. sement and marketing of loan products. and timely disclosure of terms, costs, rights and ns. e or advise to customers seeking loans. e any disputes or differences with customers by m within the organization. quirements in good faith. that provide appropriate levels of oversight in the nd potential conflicts of interest and to implement t align the interests of owners and management. not flow to companies that utilize child or forced natory policies against religion or gender.

processing

ers/borrowers shall be made in English/ vernacular od by the borrower.

de necessary information which affects the interest

bered and all valid loan applications shall be logged ere a unique agreement reference is generated. greement number. The loan application form shall be submitted with the application form.

sed and after necessary due diligence is done; letter. The acceptance of the terms and conditions Company for its records. The Customer shall sign ments. Such agreements and documents shall have d charges mentioned in bold. All the terms and customers.

cts the customer will be required to pay a noncessing of the application. In such cases, the refundable fee via acknowledgement in application

2

1.3

Loan appraisal and terms/ con

a) The company shall convey in writing language as understood by the borro amount of loan sanctioned along wi rate of interest and method of applic terms and conditions by the borrowe b) As complaints received against NBF penal interest, the company shall men in bold in the loan agreement. c) The Company has an “Interest Rate Interest and other fees to customers. i. The interest rate to the custom reasonable returns to the organiz

ii. The Company’s pricing methodol refined as we get more insights in

iii. The Company offers loan rates and value of collateral and cred take a repeat loan will also get be track record.

1.4

Disbursement of loans includi

a) The company shall furnish a copy of t along with a copy each of all enclo borrowers at the time of sanction borrowers are fully aware of the ter interest at the time of sanction of loa

b) The Company is having Policy for L includes procedure for storage/dispo take adequate safeguards with resp Company will ensure that jewellery r its employees will not submit bids for a) The Company shall ensure that a l customer containing all the terms and language or other language unders (pawn ticket) will also mention the l charges, loan processing fees etc. Th the signature of the authorized offici the security (gold) pledged at the bra b) The Company shall issue a signed cash payments made by the custom payments vide cheques, demand condition that return of the security realization.

nditions, interest rates

g to the borrower in the vernacular language or a ower by means of sanction letter or otherwise, the ith the terms and conditions including annualized cation thereof and keep the acceptance of these er on its record. FCs generally pertain to charging of high interest / ntion the penal interest charged for late repayment

e” policy which lays out the principles for charging . mer is determined based on cost coverage and zation and its shareholders.

logy will continue to evolve and be more and more nto risk levels of each sub segment.

based on loan size, perceived credit risk, nature dit history with other FIs. Existing customers who enefit of lower rates as they have a demonstrated

ing changes in terms and conditions

the loan agreement as understood by the borrower losures quoted in the loan agreement to all the / disbursement of loans. This is to ensure that rms and conditions of the loans including rate of ans.

Loan against gold jewellery and loan agreement osal of the jewellery pledged. The Company will pect to jewellery received, and its storage. The received is adequately insured. The Company or r the jewellery in the disposal process. loan sanction letter (pawn ticket) is given to the d conditions governing the loan facility in the local stood by the customer. The loan sanction letter loan amount, loan account number, interest rate, he loan sanction letter (pawn ticket) which will bear ial of the company will also serve as a receipt for anch by the customer. and, normally, a system generated receipt for all mer immediately. The Company shall also accept drafts, electronic transfers etc. subject to the y (gold) will be made only after confirmation of

3

c) Even though the loan sanction lette conditions of the loan the Company basis, to send advices, reminders e principal etc. by letter, courier service d) The Company shall, on demand, representative with a statement of th the loan or immediately upon closur require payment of reasonable pro statement of account if such deman account. e) The Company shall not in the norma terms and conditions of the loan, inclu the customer financially or otherwise / modifications are inevitable, keepin proper notice shall be given to the cu

1.5

Post disbursement supervisio

The post disbursement supervision by the C constructive with a view to take care of any collection purposes, the Company shall adhe for Collection and Recovery of dues from bo

Further the Company reiterates the follo supervision:

a) Inappropriate occasions such as b nature, if known to the Company, wil

b) Before taking decision to recall / facility terms or seeking additional borrowers, as specified in the fac condition exists in facility terms (unle

c) The company shall release all securi loan, subject to any legitimate right o against the borrowers/guarantors. borrowers /guarantors shall be give about the remaining claims and als entitled to retain the securities.

1.6

Recovery of loans

a) The Company will not, as a matter o initially agreed tenure except in una Company’s interests are adversely substantially, when the quality of g regulatory / government directives et shall be given to the customer recalli

er (pawn ticket) contains all applicable terms and y shall, nevertheless, endeavour, on a best effort etc. regarding due date for payment of interest, e, telephone, SMS etc. provide the customer or his duly authorized he loan account at any time during the currency of re. However, the Company may, at its discretion, ocessing charges by the customer for providing nd is made 30 calendar days after closure of the

al course make any changes / modifications in the uding rate of interest, which could adversely affect e. In abnormal circumstances when such changes ng in view the new circumstances, adequate and ustomer about any such change/modification.

on

Company, particularly in respect of loans shall be genuine difficulty that the borrower may face. For ere to the policy guidelines as per Code of Conduct orrowers”.

owing points with regard to post disbursement

bereavement in the family or events of similar ll be avoided for making calls or visits.

accelerate payment or performance under the l securities, the Company shall give notice to cility terms or a reasonable period if no such ess the security is in jeopardy).

ities on receiving payment of loan or realization of or lien for any other claim the Company may have If such right of set off is to be exercised, en intimation about the same with full particulars so the documents under which the Company is

of fair dealing, normally recall the loan before the anticipated or abnormal circumstances where the affected e.g. when the security value diminishes gold is not found to be acceptable, due to any tc. In all such cases proper and reasonable notice ing the loan before expiry of the normal tenure.

4

b) The Company will make all possible repay the dues without resorting to accept nor will it encourage the use a from the customer. c) The Company will resort to disposal after adequate and proper notice is notice will be as per the terms contai compliance with applicable laws and d) The Company will deliver the sec settlement of the loan in the same co In case of any damage caused to employees, the Company shall at its reasonable compensation to the cu (gold) has signs of damage thereon, the time of sanction of loan, the fact (pawnticket). e) The Company will exercise only legiti cash surplus as may arise upon settl lien shall arise only if the customer h and will be subject to proper intimatio by the Company. f) The disposal of the security (gold) w customer does not positively respon close the loan account along with int g) Where the Company proposes to disp of the loan based on the rights conf loan sanction letter (pawn ticket) ad customer before such action is initiat h) In the matter of recovery of loans, th viz; persistently bothering the borrow of loans etc. As complaints from cust the companies, the Company will en with the customers in an appropriate

1.7

Lending against collateral of g

While lending to individuals against gold jew

The Company shall put in place a Board app alia, cover the following:

a. Adequate steps to ensure that the KY and to ensure that adequate due d extending any loan, b. Proper assaying procedure for the je c. Internal systems to satisfy ownership d. Adequate systems for storing the jew an on-going basis, training the con

e soft or persuasive efforts to get the customer to disposal of the security. The Company does not any coercive or hard measures to recover its dues

of security (gold) only as a last resort and that too served on the customer to repay the dues. Such ined in the sanction letter (pawn ticket) and also in d regulatory guidelines. curity (gold) to the customer immediately upon ondition as was at the time of sanction of the loan. o the security (gold) due to mishandling by its s cost get the damage repaired or alternately pay ustomer on a case-to-case basis. If the security before being taken custody of by the Company at t will be briefly incorporated in the sanction letter

imate right of lien over the pledged security or such lement of existing loans at any time. Such right of has any other dues, either directly or as guarantor, on of such right of lien being given to the customer

will be taken up through public auction when the nd to the communications sent by the Company to terest and other charges. pose of the security even before the normal tenure ferred on the Company vide loan application and dequate and proper notice will be served on the ted for recovery of dues. he Company will not resort to undue harassment wers at odd hours, use muscle power for recovery tomers also include rude behavior from the staff of nsure that the staff are adequately trained to deal e manner.

gold jewellery

wellery, Lulu Finserv shall adopt the following:

proved policy for lending against gold that will inter

YC guidelines stipulated by RBI are complied with diligence is carried out on the customer before

ewellery received, p of the gold jewellery, wellery in safe custody, reviewing the systems on ncerned staff and periodic inspection by internal

5

auditors to ensure that the procedu should not be extended by branches the jewellery, e. The jewellery accepted as collateral f. Transparent auction procedure in cas the borrower. There should be no c ensure that there is arm’s length re including with group companies and g. The auction should be announced to two newspapers, one in vernacular la h. As a policy, the Company themselve i. Gold pledged will be auctioned only t j. The policy shall also cover systems a fraud including separation of duties o

1.8

Digital Lending

Wherever the Company engage digital lend and/ or to recover dues, the Company will fo

a) Names of digital lending platforms en of the Company. b) Digital lending platforms engaged as customer, the name of the Lulu Finse c) Immediately after sanction but befor letter shall be issued to the borrower d) A copy of the loan agreement along loan agreement shall be furnished to of loans. e) Effective oversight and monitoring s engaged by Lulu Finserv. f) Adequate efforts shall be made tow redressal mechanism.

1.9

General a.

Lulu Finserv will refrain from interfer purposes provided in the terms a information, not earlier disclosed by t b. In case of receipt of request from th consent or otherwise i.e., objection o days from the date of receipt of req contractual terms in consonance with c. As a measure of customer protection to prepayment of various loans by bo charges/ pre-payment penalties on a borrowers. d. Unless authorized by the borrower, t private and confidential. The Comp borrowers to any other persons exce

ures are strictly adhered to. Normally, such loans s that do not have appropriate facility for storage of

should be appropriately insured, se of non-repayment with adequate prior notice to conflict of interest and the auction process must elationship in all transactions during the auction related entities, o the public by issue of advertisements in at least anguage and another in national daily newspaper, es will not participate in the auctions held, through auctioneers approved by the Board, and procedures to be put in place for dealing with of mobilization, execution and approval.

ding platforms as their agents to source borrowers ollow the following instructions:

ngaged as agents shall be disclosed on the website

s agents shall be directed to disclose upfront to the erv on whose behalf they are interacting with him. re execution of the loan agreement, the sanction r on the letter head of Lulu Finserv. g with a copy each of all enclosures quoted in the all borrowers at the time of sanction/ disbursement

shall be ensured over the digital lending platforms

wards creation of awareness about the grievance

rence in the affairs of the borrower except for the and conditions of the loan agreement (unless the borrower, has been noticed). he borrower for transfer of borrowal account, the of the Company, if any, will be conveyed within 21 quest. Such transfer shall be as per transparent h law. n and also in order to bring in uniformity with regard orrowers the Company shall not charge foreclosure all floating rate term loans sanctioned to individual

the Company will treat all personal information as pany may not reveal transaction details of the ept under following circumstances

6

• • • •

If the Company is required directives to any statutory or If arising out of a duty to the p If it is in the interest of the b prevention) If the borrower has authorize group/associate/entities or Co agreed upon

e. The Company shall not deliberately p or contrary to the customer requireme The Company will ensure that its per suitably trained and instructed so misrepresentation to the customer / p f. The Company will not indulge in pro loans or take undue advantage of ad be based on variables such as cos gram, profit margin etc. and shall be Company and Regulatory Guidelin large, be in tune with industry practic g. Full and updated information regardi charges etc. will be displayed on the branches. Complete or select inform media channels, posters, brochures, the management of the Company fro

d to provide the information as per regulatory regulatory body or bodies public to reveal the information borrowers to provide such information (eg. Fraud

ed the Company to provide such information to its ompanies or any such person/entity as specifically

promote a product with any ulterior / selfish motives ents or expectations as disclosed by the customer. rsonnel engaged in marketing and operations are o as to preclude selling of its products by prospective customer. ofiteering by charging usurious rates of interest on dverse market conditions. The rates of interest will st of funds, risk premium, loan scheme, loan per e in conformity with the Interest Rate policy of the nes from time to time. It shall also, by and ces and benchmarks. ing loan schemes, rate of interest, loan per gram, website of the Company and also displayed in the mation will also be made available through various s, notices, displays etc. based on the decisions of om time to time

7

Lulu Financial Se

Grievance R

[Framed and Approved by B

ervices India (P) Ltd

Redressal Policy

Board on 29th September 2021]

Grievance 1.1

Preamble

The quick and effective handling of compl actions to improve processes are essenti segments of customers. To achieve this, th redressal of customer grievances in line w revised and is being tabled for the approval

Through this policy, the Company shall ensu and addressing complaints from its custo resolving such complaints fairly and expediti The policy seeks to ensure that:

a. Adequate information shall be made a

various channels for seeking redressa deficiency in service by the Company. Su number of grievance redressal officer w escalation thereafter. This will be update emerging out of internal reasons or chan

b. Any complaint received - either verbally,

be logged into a tracker. With this the Com received are recorded and resolved, but mechanism to the senior functionary re complaints remain unresolved. c.

The grievance redressal channels of the services provided by Outsourced Agenc service providers to resolve customer iss

d. All complaints received through the belo

by a dedicated resource under complian • •

Reserve Bank of India complaints Government of India complaints r

e. All complaints received shall be handled o First level o Next Level f.

Branch Grievan

In case a customer is not satisfied with t customer shall be provided an option through an e-mail or through a letter. Th

e Redressal Policy

laints as well as prompt corrective & preventive ial to provide excellent customer service to all he Company has a clearly documented policy for with RBI guidelines. This policy is being suitably of the Board.

ure that a suitable mechanism exists for receiving omers / constituents with specific emphasis on iously regardless of sources of the complaints.

available to all customers at all branches about al of grievances arising out of any perceived uch information shall include the name and contact with whom such complaints can be addressed and ed as and when any change occurs in the process nge in guidelines from the regulators.

, via e-mail or in writing - from the customers, shall mpany shall not only ensure that all the complaints shall also ensure effective monitoring / escalation esponsible so as to make sure that none of the

e Company will also deal with the issues relating to cies and shall sensitize the respective outsourcing sues expeditiously.

ow mentioned channels shall be handled centrally nce department:

s received at Corporate Office received at Corporate Office

d as below:

h Manager/In-charge ance Redressal Officer

the resolution provided by the front office staff, the to write to the Grievance Redressal Cell either he contact details of the Grievance Redressal Cell

2

shall be displayed at all the branch prem The Unit shall be responsible for providin received at their end.

g. Complaints shall be resolved in a prope

the customer. In case the resolution nee complaint shall be issued. h. Customer Complaints received through

Company’s E-mail Management Unit response to customers raising complaint

Reporting of complaints shall be placed at le or as may be required from time to time requirements.

1.2

Responsibility of Board of Dire

As per RBI directives the Board of Direct grievance redressal mechanism within the or all disputes arising out of the decisions of disposed of at least at the next higher leve periodical review of the compliance of the grievance redressal mechanism at various such reviews may be submitted to the Board

1.3

Grievance Redressal Officer

At the operational level, the Company have for the benefit of their customers, at their bra

(a) the name and contact details (Te the Grievance Redressal Officer w of complaints against the Compa

(b) If the complaint / dispute is not red may appeal to the Officer-in-Charge contact details), under whose jurisdic

In short, the public notice should serve th grievance redressal mechanism followed grievance redressal officer and of the Regio

"Accordingly, the following contact details wi I.

The name and contact details of approached by the public for resolut below:

mises of the Company as well as on the website. ng adequate resolution to all escalated complaints

er and time bound manner with detailed advice to eds time, an interim response, acknowledging the

e-mails shall be responded through e-mail Only. shall be responsible to provide final resolution ts via E-mail.

east once before the Board on half yearly intervals, e in line with various business and regulatory

ectors

tors of NBFCs should lay down an appropriate rganization. Such a mechanism should ensure that lending institutions' functionaries are heard and el. The Board of Directors should also provide for e Fair Practices Code and the functioning of the levels of management. A consolidated report of d at regular intervals, as may be prescribed by it.

e to display the following information prominently, anches / places where business is transacted:

elephone / Mobile nos. as also email address) of who can be approached by the public for resolution any.

dressed within a period of one month, the customer of the Regional Office of DNBS of RBI (complete ction the registered office of the NBFC falls.

he purpose of highlighting to the customers, the by the company, together with details of the onal Office of the RBI.

ill be published:

the Grievance Redressal Officer who can be tion of complaints against the Company are given

3

Mr. Pathrose P P Grievance Redressal Officer Lulu Financial Services (India) Pr Y Tower, 12/971-B Civil Lane Road Kakkanad, Kochi 682 030 E-mail:[email protected] Tel: +91 90483 38786

II. If the complaint / dispute is not red may appeal to the Officer-in-Charge Banking Supervision of the Bank, un company falls are given below;

Deputy General Manager Reserve Bank of India Department of Supervision (N Thiruvananthapuram 695 033

Tel: 0471-2329040 Fax: 0471-2320308 Email: [email protected].

1.4

Key Parameters of the Grievan

A grievance against the Company on any o be made by the complainant (himself or thro Advocate), to the NBFC Ombudsman within of the Non-Banking Financial Company com i. ii. iii. iv.

v. vi. vii. viii.

Non-presentation or inordinate d provided by the customer. Failure to convey in writing, the conditions including annualised r Failure or refusal to provide san vernacular language or a languag Failure or refusal to provide adeq sanctioned terms and condition borrower. Failure or inordinate delay in rele repayment of all dues; Levying of charges without adequ Failure to provide legally enforce loan agreement; Failure to ensure transparency in

rivate Ltd

com

dressed within a period of one month, the customer e of the Regional Office of Department of Nonnder whose jurisdiction the registered office of the

NBFC) 3

.in

nce Redressal Mechanism

one or more of the grounds mentioned below may ough his authorised representative (other than an n whose jurisdiction the Branch/ Registered Office mplained against, is located:

delay in the presentation of post-dated cheques

amount of loan sanctioned along with terms and rate of interest and method of application thereof. nction letter/ terms and conditions of sanction in ge as understood by the borrower. quate notice on proposed changes being made in ns in vernacular language as understood by the

easing the securities documents to the borrower on

uate prior notice to the borrower/ customer. eable built-in repossession clause in the contract/

n the contract/ loan agreement regarding

4

a) b) c) d)

notice period before takin circumstances under whic the procedure for taking p a provision regarding final of loan before the sale/ au e) the procedure for giving re f) the procedure for sale/ au ix. Non-observance of directions iss companies; x. Non- adherence to any of the oth Practices Code for Non-Banking

2

Conclusion

The Board shall review the Policy annually o approved by the Board shall be incorporated shall be effective/enforceable from the date o shall stand modified in accordance with Government / RBI during the intervening pe which no further approval from the Board sha such changes as and when notified by the G be circulated to all offices/branches concern published in the Company’s website.

ng possession of security; ch the notice period can be waived; possession of the security; l chance to be given to the borrower for repayment uction of the security; epossession to the borrower and uction of the security; sued by Reserve Bank to the non-banking financial

her provisions of Reserve Bank Guidelines on Fair Financial Companies.

or earlier if found necessary and the changes if any d in the Policy Document. The revised guidelines of approval by the Board. Nevertheless, the Policy any statutory / regulatory changes made by eriod, from the date advised in the guidelines, for all be necessary. The Policy shall be updated with Government / RBI and the modified guidelines shall ned. The relevant extracts from this policy will be

5

Issue 01 | Date: 12-10-22

Gold Loan Takeover-Important Poi Please note the following points during takeover of gold loan accounts from other Banks/NBFCs: •

• •

• •

•

Gold Loan Takeover is permitted only from known customers, after proper due diligence and ensuring the genuineness of the takeover reasons. Takeover is permitted only from Banks and reputed NBFCs. Takeover should only be in the name of the same customer appearing in the pledge token of the other lender. Declaration cum undertaking in vernacular should be got signed beforehand. Additional ornaments cannot be added to the lot as per the pledge token, for getting higher amount. Partial takeover and release of some items from the lot permitted ensuring the availability of funds with the customer to close the entire loan with the other lender.

About Cre

We had a Staff Get together and training at H discussed may points regarding credit, especia initiative of the training so that you may once compilation of the 10 issues of Credit Snippets Management Department.

This will be updated periodically. Please read, rem Head-Credit & Risk

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

ints •

• • •

•

• •

Cash should be taken out of the premises or funds to be transferred to the other lender/ customer’s Bank for closure of the account, only after customer ID creation, takeover request entry, uploading of the pledge tokens and first level loan approval in the Lcode software. Cash movement should be done only after entry in the cash in transit register. The accounts shall be booked only in the specific takeover schemes. Proper gold appraisal should be conducted on receipt of the ornaments from the other lender. Ownership certification to be signed by the appraisers if 20 grams or more pledged by the same customer. PAN Card and Field verification compulsory if the loan exceeds Rs. 5 L Permission from Head-Credit & Risk to be obtained for gold loan takeovers above Rs. 2 Lakhs by sending the copies of the pledge tokens by email

edit Snippets:

Hotel Ibis, Ernakulam, on 4th September 2022. We ally on gold loans. Credit Snippets is a follow up e again recollect the points discussed. This is a published from 12th October 2022 from Credit/Risk

member, and put into practice.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 02 | Date: 13-10-22

Gold Loans-Do’s and Don’ts

Please Do The electronic weighing machine should be s checked every day using a 5-rupee or 10-rupee The Nitric Acid kept for gold testing shall be re every three months. The bottle containing the acid should display th of purchase. A 10x Magnifying lens should be kept in the bra observing the gold ornaments closely (lik hallmarking). The touch stone used for gold testing sho cleaned periodically. A photocopy of the KYC documents shall be ob and filed along with other documents, self-attes the customer and with OSV (Original See Verified) certification by the Branch Officials. In all physical copies of Aadhar Card kept in the the Aadhar Number except last for digits sho masked using a sketch pen. Gold movement to and outside the safe should b jointly by joint custodians and should be p documented in the gold stock register. Printed copy of the customer declaration undertaking in Malayalam should be obtaine signed by the customers in case of all pledges. Ownership verification certificate should be sig the B-I-C/Appraising official and kept along with documents in cases where the gold ornaments e 20 grams (Total pledge including the new pledg PAN Card is mandatory while accepting pledge 5 L and above. Field verification is also compul such cases. A printed copy of the Negative list of items no accepted for pledge shall be kept in the Gold Counter.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

sample e coin. eplaced

he date

anch for ke the

ould be

btained sted by en and

Branch ould be

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Please Don’t Disbursing more than two gold loans per customer per day requires HO permission. Disbursing more than five gold loans to a single customer during a calendar month requires HO permission. A single ornament more than 40 grams should be accepted for pledge only with HO permission. Single item in a pair (eg.Studs) should not be accepted for pledge. Ornaments with similar design and shape (eg. similar bangles) more than 8 in number shall be accepted for pledge only with HO permission. Sacred Thali should not be accepted for pledge. Gold ornaments below 2 grams cannot be accepted for a single pledge. Can be included in a lot. Delegation to sanction gold loans to a particular customer by the BIC is limited to Rs. 5.00 L only. This limit is not for a single instance but the total outstanding including proposed pledge (total gold loan exposure per client). Wherever HO permission is required it shall be obtained through e-mail and a copy of the sanction letter should be filed. Deviation approvals in system shall be done by the branches only after getting the HO approval.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 03 | Date: 14-10-22 Gold Pledge-A Smart Process flow. ❖ Before taking a pledge, confirm that the weighing machine has been sample checked as per the instructions and noted in a register. ❖ Before taking the ornaments offered for the Pledge, open the packet brought by the customer in front of the customer and do a physical examination of the items. ❖ If there are any damaged item, the same must be brought to the notice of the customer. ❖ It is the duty of the officer to classify the item and count them in front of the customer and convince the customer about the items that he/she has brought in for pledging. ❖ Know the requirement of the borrower. ❖ Verify orally with the borrower the number of items and the approximate weight, from which shop it was purchased, and confirm the ownership of the ornaments. If any suspicion is felt, utmost care is to be taken while accepting the gold as security. ❖ Understand the source of income of the borrower for the repayment. ❖ Assess the loan eligibility with the ornaments available. ❖ Inform the borrower the approximate amount eligible for the ornaments. ❖ With the approval of the borrower, the ornaments must be appraised through an acid test. (Appraisal techniques covered in detail in subsequent issues). ❖ Special care shall be taken if the person objects to thorough examination of the ornaments. ❖ Special care to be taken if the person approaches for the loan at the closing hours of the business of the Branch and insists for immediate disbursement. ❖ Special care shall be taken if the ornaments brought by him are generally used by persons of any other community. ❖ Then start entering the details of the borrower and the details of the ornaments in the Lcode Software. ❖ The net weight of the ornaments must be noted after proper deductions on purity/stone weight and correctly entered in the system.

❖ A a s ❖ M S p ❖ C lik a

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❖ S w ❖ T a o fin ❖ In u re th T w ❖ W c o w a o ❖ O fo w c ❖ If m fo ❖ S w e if ❖ If lo s u c ❖ W s b c

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

After entering all the details in the system, download the application forms and the loan agreements, affix revenue stamp in DPN and get signature of the borrower. Match the signature with the KYC documents available. Since the Aadhar Card does not contain signature, preferably obtain a PAN Card copy additionally. Check whether the borrower has availed any other loans ke Gold Loans, Personal Loans and whether any overdue are there.

ghing

Switch off the fans if any near the counter before starting weighing. The tray must be cleaned well, and the scale must be adjusted to Zero before placing the ornament. Weigh each ornament twice. The total weight should tally before inalizing the weight. n case of large items for weighing, the tray should not be used. Care must be taken to adjust the scale to zero after emoving the tray and then proceed to weigh the item. After his, if small ornaments are given for Weighing, place the Tray first, and adjust the Scale to Zero and then start weighing the items Weight of stones embedded in the ornaments should be completely ignored and only weight of gold contents in the ornaments should be considered. Towards this the gross weight and net weight (after deducting the stone weight) is arrived, and the loan is decided based on net weight of the ornament. Ornaments with cotton/ silk threads, copper or silver, other oreign materials, etc. should also be assessed and the net weight arrived at after deduction of these, only should be considered for the loan. f the gold content is comparatively lesser than other materials used as above, such ornaments are to be avoided or pledge. Special care must be taken to examine the items before weighing, against any possible wax filling/ plastic insertion etc. In such situations, proper deductions must be made or not possible, these should not be accepted for pledging. f the ornaments have abnormal weight (very high or too ow) compared to the size of the ornament, more care should be exercised because the ornaments may be made up of other metals. Gold, when held in palm, feels heavy in comparison to other metals. Where multiple ornaments are offered for pledge, each item should be weighed separately, and gross & net weight shall be noted. The ornaments shall be then weighed together to countercheck the gross weight.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 04 | Date: 17-10-22

Us The gold ornaments tendered by the customer should Or be appraised carefully before accepting as security or for the Gold Loans. The appraisers should be aware So be of the following special properties of gold. • Properties of gold.

Gold Appraisal- The Smart way.

•

Resistant to oxidation: It does not tarnish or rust unlike copper, brass, silver, aluminium, etc. • Nonmagnetic. • High thermal and electrically conductivity. • Dissolves only in nitro-hydrochloric acid. (75:25) (Aqua regia) • Malleable: Gold can be pressed into very thin sheets. • Ductile: Gold can be drawn into thin wires for circuits, like transistors. • Sectile: This means it’s a relatively soft metal. To combat its weakness, it must alloy with other metals like silver, nickel, copper, or platinum. Hallmarking: Using the 10x lens provided to the branches, the appraiser should first check the hallmarking on the jewellery. Hallmarking is the accurate determination and official recording of the proportionate content of precious metal in the jewellery/artefacts or bullion/coins. Government has made it mandatory for all jewellers to sell only hallmarked gold jewellery from June 16, 2021. Exempted items: • Gold article with weight less than two grams, Any article of gold thread, • Special categories of jewellery - Kundan, any article which is intended to be used for medical, dental, veterinary, scientific, or industrial purposes, Jewellery for international exhibitions, • Gold jewellers having annual turnover of up to Rs 40 lakh per annum. Flexibility Test Gold ornaments are more flexible as compared to others. When checking items such as bangles press gently to check flexibility. Higher the flexibility more is the purity. We can apply flexibility test on solid bangle, solid ring, etc.

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Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

sability test rnaments are purchased for use. If you feel that an rnament is not usable, appraise the same very carefully. ome examples of non-usable ornaments are given elow: Comparatively big/small ornaments which is not wearable because of its size, shape, weight, design etc. ound Test Gold has a very distinctive sound when dropped on glass r hard surface. Impure gold sounds completely different. olid Bangle & Ring has a bell sound when it is dropped n the hard surface/floor/glass. If there is no bell sound, he ornaments must be appraised very carefully. cid and salt test ep 1: Scratch the ornament in the stone. ep 2: Scratch the same portion again ep 3: Scratch the same portion a third time. will help in identifying ornaments with gold coating. ep 4: Apply acid (Nitric Acid) and salt on it. If there is any olour change of the metal melts, then it isn't pure gold. Gold is the only metal which doesn't react with any acid any other substances.) ointed Scratch Test tep 1: Scratch the ornament tep 2: Apply acid on it. tep 3: Watch for any colour change. If the colour changes to green, it is copper. tep 4: Put a pinch of Salt on it. tep 5: If the colour changes to white, it is silver. scratch mark vanished, it's low in purity lease clean with cotton or tissue to avoid any possible amages due to the chemical reactions with acid. udicious verification: nce verified, ornaments shall not be given back for dditional ornaments or otherwise all the items should be erified again. ttempts for Pledging Spurious Gold Ornaments n case branch notices an attempt to pledge spurious gold, he following procedure must be followed: Take the picture of gold ornaments attempted for pledge Take the picture of customer (if possible) Inform Head-Operations at HO Head-Operations must circulate it to the branches. HO will guide branches on each such case separately about the legal procedure, complaint filing, etc.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 05 | Date: 18-10-22

Gold Loan-Documentation Documentation of Gold loans across all branches shall be uniform. The following documentation is essential for all gold loans. Gold Loans shall be disbursed only against fully completed and properly signed loan application form and other documents generated from the system. Loan application forms and documentation requirements should comply with the Fair Practice Code and KYC Policy of the Company. The various loan schemes (loan per gram, interest rate structure, penal interest, compounding if any, other charges etc.) should be explained to the prospective borrower and an appropriate scheme offered based on the borrower’s needs / preferences. Immediately upon sanction the loan, sanction letter (pawn ticket) should be given to the borrower. The pawn ticket, which serves as a receipt for the gold ornaments delivered by the borrower, will also operate as a loan sanction letter incorporating the terms & conditions of the loan. The office copy of the pawn ticket should be carefully retained along with the loan application form for future verification and reference and the customer copy should be obtained at the time of loan closure. A certificate shall be issued to the borrower on our letterhead, of having assayed the gold stating the purity (in terms of carats) and the weight of the gold pledged (This is taken care of in our pawn ticket)

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

All customers availing loan facility from the Company shall be required to submit suitable and acceptable evidence of Identity and Address commonly understood as KYC documents at the time of the first loan disbursal when the “Customer ID” (master) is created in the system. If Aadhar is not accepted any two other documents like Driving licence/PAN/Voters ID to be obtained. Aadhar/PAN/Voters ID to be verified online, using the Equifax API. First 8 digits of the Aadhar number to be compulsorily masked. Risk categorization of the customers in the system is compulsory. Clear and visible photograph of the borrower using the web camera should be captured and stored in the system. Demand Promissory Note (DPN) affixed with one rupee revenue stamp and Take Delivery Note, downloaded from the system duly signed by the customer. Terms & Conditions letter in vernacular which also includes declarations and undertakings by the borrower and acknowledged by him/her. If the gold loan is for Rs. 5 L and above a copy of the PAN Card should be compulsorily obtained and a Field Verification Report is to be filed after due diligence. If the total weight of ornaments pledged by a customer exceeds 20 grams (aggregate of all pledges), ownership certificate in the prescribed format shall be filled and signed by the appraisers and kept along with the documents. The KYC documents shall be kept in a separate box file and the new gold loan documents and closed documents in two separate files, in date wise order. Gold pledge shall be properly entered in the gold stock register.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 06 | Date: 19-10-22

Custody & Handling of Pledged Gold Utmost care is to be taken to ensure the safety of the ornaments pledged by the customer. With this in view the following arrangements shall be in place in all the Branches. Gross weight of the jewellery to be taken and appraised for assessing the purity. Purity Check shall be conducted as per the various methods prescribed by the Company to make sure that the jewellery offered for pledge is of an acceptable level of purity. Net weight of the jewellery to be arrived at after deducting the weight of stones embedded in the ornament completely disregarding the value of such stones. Appraiser to sign the appraisal form as proof of having done the appraisal. Jewellery to be packed securely along with the weight slip and kept in the strong room/safe. Separate packets to be prepared for each loan. Overnight storage of pledged gold ornaments shall be in burglar proof safes with secure locking facility complying with high safety standards. While overnight storage of gold shall be in the burglar proof safes/lockers, interim storage during transaction in the counters / table drawers in the branch in daytime should be kept to the bare minimum required by quickly transferring the gold ornaments into the safes/lockers. As an internal control mechanism Gold ornaments shall be in the joint custody of the 2 senior most officials/ employees in the branch. Suitable control systems should be in place so as to ensure that the same official / employee does not get custody of the 2 different keys even if at different points of time during posting at the branch. Each and every Pledge packet, before being taken to the vault / safe, has to be recorded properly in the Gold Stock Register by the BM and joint custodian. The serial number of packets should be noted in the register. The Gold Stock Register is to be kept under the custody of BM and the entry is to be made every time the gold packets are kept in the vault and taken out. The serial number which is printed on packet should be mentioned in the register against all packets.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

Each and every release must be recorded in Stock register before taking out from safe / vault. Custodian and Joint Custodian must verify and affix their signature on it It is the duty of the Custodian and Joint Custodian to keep the items in serial order in the Safe / vault in a manner that is easy to locate. The Balance in Gold Stock Register must be tallied with the Physical Stock of Gold kept in the Safe / vault, at any point of time. Gold stock register may be kept in strong room/vault after office hours. Burglar alarms, Closed Circuit Cameras and such other devices as deemed necessary shall be installed in all branches. Insurance cover against burglary/fire /natural calamities or such other risks shall be taken (This is arranged centrally) The adequacy of the safety measures put in place as also the insurance cover shall be reviewed on an ongoing basis. Fortnightly verification Branches should periodically (at least fortnightly) tally the gold loan packets kept inside the safe / vault with stock register and outstanding list derived from the computer system by the joint custodians. As the weights are not mentioned in the stock register, only number of packets need to be tallied with the register. This must be verified by gold inspection audit team on their visit The following instructions are to be followed by Custodian and Joint Custodian during the fortnightly verification. The Custodian and the Joint custodian should verify the physical availability of the packets by ticking each account number. After completion of verification, the list of loan accounts should be carefully verified to confirm that all the packets are checked by them and there is no omission (un-ticked loan). Discrepancies noticed, if any, are to be reported to HO immediately.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 07 | Date: 20-10-22

Release of pledged gold- Things to remem

The Jewellery pledged by a customer shall be releas receipt of full dues including the principal, interest, p customer copy of the pawn ticket. Release shall be done only after verification/confirm customer copy of the original Pawn Ticket. Branches must collect the duly discharged original pa Both custodians jointly, should take out the gold pack joint custodians should sign the gold stock register. Branch in charge should hand over the ornaments to t in the applicable documents. The gold items should obtained in the release portions noting “item received Loss of Pawn Ticket If the Pawn Ticket is lost, Indemnity letter in plain pa release of jewellery and the required fee is also to be Verify the customer signature with our records. Verify the KYC with system. KYC copies and Signature of the witness are also req

Delivery of ornaments to a third party. Delivery of ornaments to third party shall be ma circumstances and on undoubted authority of the bor Permission for release of the ornaments to a third part the necessity. Person must be properly identified, with a proper ID w A letter of authority is to be obtained, containing the responsibility in the event of dispute or loss arising fro Where necessary, the undertaking also taken in the f Acknowledgement of the third party is obtained on the The borrower shall be advised separately of the deliv send an acknowledgement. Loss of pledge ticket along with authorization for relea

Delivery of ornaments in case of deceased borrowers In case the customer is deceased, the ornaments documents as per the procedure stipulated by the account. In this case, the indemnity agreement shall b be remitted. Copy of the pawn ticket is also to be surr Interest in the account of the deceased borrower is manner. If the legal heir(s) / near relatives wish to liquidate the by giving them clear understanding that the ornamen of legal representation in the proper way and that the case if they fail to obtain legal representation in their and kept on record.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

mber.

sed only to the same customer who pledged the gold, on penal interest, and other charges if any, and tendering of

mation of signature with the original KYC documents and

awn ticket issued to customer at the time of closing. ket from vault after the GL account is closed and both the

the borrower after getting the necessary acknowledgment be handed over to the customers and signatures to be d”.

aper as per our approved format is to be obtained before e remitted by the party.

quired.

ade only after repayment of loan in very exceptional rrower. ty shall be obtained from Head-Credit & Risk, highlighting

with signature. e undertaking by the borrower absolving the Bank from om the delivery of ornaments to the party named therein. form of indemnity bond. e Letter of Authority and as well as in the GL Register very of the ornaments to the third party and requested to

asing to third party is not permitted.

s can be delivered to the legal heir/s on execution of Company for settlement of deceased borrower’s loan be obtained in stamp paper and the required fee also to rendered. to be charged as per the contracted rate in the usual

e outstanding in GL account, they are permitted to do so nts will be delivered to the legal heirs only on production e amount so deposited would not be refunded to them in r favour. A letter of undertaking to this effect is obtained

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 08 | Date: 21-10-22

Loan-To-Value (LTV) for Gold Loans: Everything You Should Know

❖ As per RBI guidelines, loans sanctioned by Banks and NBFCs against pledge of gold ornaments and jewellery for non-agricultural purposes should no exceed 75 per cent of the value of gold ornaments and jewellery. ❖ In order to standardize the valuation and make it more transparent to the borrower, the gold jeweller accepted as collateral is valued at the average of the closing price of 22 carat gold for the preceding 30 working days as quoted by the India Bullion and Jewellers Association Ltd (IBBA), as advised by RBI. ❖ Since the LTV norm of 75% is not applicable to Agricultural loans, many banks offer more than 75% LTV for gold loans, classifying the loans as agricultura loans, which they may not publish. By classifying such gold loans as agricultural loans banks are trying to meet the RBI direction to banks that 18% of their tota advances shall be compulsorily given for agriculture While giving such loans at a higher LTV, banks wi insist for proof of land holdings like latest Land Ta paid receipts etc. NBFCs are not given any agricultura targets and not permitted to give agricultural loans. ❖ The ceiling rate for granting the loan conforming to the guidelines issued by RBI from time to time as also the rate per gram under each scheme are updated in the system and Branches are advised daily. ❖ The day’s limit for LTV shall be displayed prominentl at the Branches in a prominent place. ❖ To determine the maximum permissible loan amount the intrinsic value of the gold content shall only be taken, and no other cost elements shall be added thereto. Quantum of finance shall be decided based on the net weight of gold of hallmarked 22 cara ornaments tendered as security, its purity and subjec to RBI guidelines regarding loan to value (LTV). ❖ The total eligible amount of the loan shall be calculated by the system based on the weight of the gold net of stones and impurities weight and subject to deductions for lower purity, wastages etc a applicable.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

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❖ Considering the risk gradation arising from differential rates, as a general rule, LTV and interest rate on the loan should be correlated i.e. a lower LTV loan shall get the benefit of a lower rate of interest. ❖ The purity of gold in terms of carat and the accrual weight shall be furnished to the borrower at the time of accepting the gold for pledge. If the gold is of purity less than 22 carats, the Company shall translate the collateral into 22 carat and indicate the exact grams of the gold given as collateral. In other words, jewellery of lower purity of gold shall be valued proportionately. Eg. If the ornament is of 20 carats, the total weight (excluding stones and impurities) shall be divided by 22 and multiplied by 20 to arrive the proportionate weight. ❖ While accepting gold as collateral, the Company shall give a certificate to the borrower on their letterhead, of having assayed the gold and state the purity (in terms of carats) and the weight of the gold pledged (This is taken care of in our pawn ticket copy given to the borrower.) ❖ We should have suitable caveats to protect ourselves against disputes during redemption on the certified purity. The undertaking letter in vernacular signed and delivered to us by the customer, takes care of this. ❖ The LTV shall be maintained not only on the date of giving the loan, but shall be maintained on an ongoing basis, throughout period of the loan. This is the reason why NBFCs offer a lower LTV than the permitted 75% for many of their schemes and give incentives for periodical servicing of interest or introducing interest jumping gold loan schemes. ❖ During the inspection of the NBFCs by the RBI, they will thoroughly check whether the LTV norms are complied with, and if found violated, will impose a penalty, and also make it known to public. Recently RBI had penalized some NBFCs for the LTV violation.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 09 | Date: 25-10-22

Gold Pledge-Due Diligence and Owner Giving loans against the pledge of gold ornaments is fraught with various risks. Sometimes parties may approach us for pledge with stolen gold ornaments. If stolen ornaments are accepted as pledge and the loan is given, the Police authorities can confiscate the ornaments as a part of any criminal complaint and investigation. We will lose the money in such cases and may have to face harassment from the police authorities, as part of the investigation process. This will also tarnish the image of the company and result in reputational losses. There are chances that local private money lenders may approach us to repledge the gold ornaments pledged with them by their clients. They may be charging usurious rate of interest from their clients and approaching us to raise money at lesser rates. In this case also there may be criminal cases against the unauthorised money lender, and police authorities can confiscate the gold ornaments. As per RBI directives a valid pledge and charge over the security shall be created only after ensuring the ownership of the gold, in line with the relevant regulatory norms. Towards this requirement, suitable clauses are added in the loan documents and the same shall be mandatorily got signed by the Customer before disbursement of the loans.

The decla undertakings in be got signed b in all gold invariably.

The Company i approved polic satisfy ownersh jewellery in po customer and t steps to ensur guidelines stipu strictly follow diligence of undertaken.

In the case of g may not be e “ownership” in manner as co lending aga vehicle, etc. T issue and also the relevant regards m establishment gold, measures obtaining un ownership in the form, collection documents rega namely bills, rec authorization to behalf of the ensuring proper meaningful inte loan applicants facie checks before the gold security. The strictly ensure th on ownership of borrowers is fol

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

rship verification.

arations and n vernacular must by the customers loan pledges,

is having a Board cy in place to hip of the gold ossession of the to take adequate re that the KYC ulated by RBI are wed and due the customer

gold ornaments, it easy to confirm n a fool proof ompared to say ainst property, To tide over this to be in line with provisions as methods of of ownership of s in the form of ndertaking of e loan application of other relevant arding ownership ceipts, etc and/or o effect pledge on rightful owner, r KYC procedure, eraction with the and other prima shall be made d is accepted as Branch shall hat due diligence f gold pledged by llowed.

However, in the process of interaction with the customer about personal details, it should be ensured that no offence or embarrassment is caused to the loan applicant. Proper record of the verification of the ownership of jewellery shall be kept at the Branch, in all cases where a particular customer has pledged more than 20 grams of gold (aggregate of all pledges), by filling and signing ownership verification certificate by the appraising official. How the ownership was derived (inherited, purchased, received as gift etc) shall be clearly noted in the format. In respect of gold loan of Rs. 5 Lakh and above, if clear proof of ownership is not being obtained due to various practical reasons, Branches should ensure that customer background verification is diligently done and ensure that the customer has the right of legal ownership of the gold ornaments being pledged, without which the gold loan should not be given. A field verification report shall be filled and signed by the field verification official. Obtaining a copy of the PAN card is also compulsory in such cases. The restrictions that, not more than two pledges per day per customer and not more than five pledges per customer per month shall be accepted without HO approval are stipulated in the policy and SOP to have a central control of the verification of ownership aspect.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 10 | Date: 26-10-22

Gold Loan Audit-Things Branches should be aware

As per the Internal Audit Policy of the Company, every should be audited on a regular basis giving utmost importa the gold loan portfolio. Branches should know, what all thin internal auditor will be checking while conducting the gol audit. Here are the important points: Whether the gold stock register in the custody of the B movement of gold packets recorded properly. Whether Nitric acid used for gold testing is changed re and that the bottle is having a sticker noting the d replacement Whether a sample weight is maintained for doing the s checking of the weighing balance/doing it. Whether the negative list of items not to be accepted for is kept near the gold loan counter Whether 10X lens is used by the branch for scrutiny ornaments pledged. Whether the number of packets of gold tallied Whether the gold packets are arranged serially in prope in the Safe locker, noting the details over the packets? Whether there was single pledge of less than 2 grams Any instances of more than two pledges per day per cus without permission. Any instances of more than 5 pledge per month per cus without permission. Any instances of accepting ornaments with more th grams, without permission Any instances of more than 8 ornaments of same nature Whether any thali was accepted for pledge? Whether any ornaments in negative list accepted for ple Whether there is any single gold loan of Rs. 5 L and ab the Branch. If Yes whether PAN Card obtained and verification done. Whether ownership certificate duly signed by the B official is available for gold loan pledge of more than 20 g Whether Customer copy of the pawn ticket obtained releasing of the gold pledge in all cases? Whether required fee collected/indemnity letter tak instances of duplicate Pawn tickets generated from the s and releasing gold ornaments? Whether customers acknowledgement obtained in the ticket/Lan agreements at the time of pledge release. In takeover cases whether cash was carried to the financier noting in cash in transit register and with signa the joint custodians.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

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branch ance to ngs the ld loan

BIC and

ecently date of

sample pledge

Whether damaged gold ornaments accepted for pledge? Whether the loan documents and office copy of the pawn tickets filed in serial order? Whether DPN taken is affixed with revenue stamp and got signed in all cases? Whether customer declaration in vernacular obtained. Whether any ornaments below 18 carats accepted for pledge? Whether any gold release given to third parties without HO permission Whether any gold released accepting cash above Rs. 2 L? Whether any payment was given in cash in excess of Rs. 2 L per customer per day?

of the Customer ID Creation/KYC ➢ Whether KYC documents obtained while creating customer ID in all cases? (Aadhar for gold loans & er order Aadhar Plus PAN card/Any other for other loans) ➢ Whether a copy of the KYC documents kept in the files with OSV certification. stomer, ➢ Whether the Aadhar Number in the copies filed are masked as per instructions in all cases? stomer, ➢ Whether KYC online verification done while creating customer IDs after 18/07/2022? han 40 ➢ Whether Risk categorization of customers done in all cases? e ➢ Are there any cases where photo of the customer was not captured in the system? Tailpiece: The internal auditor will check the following edge ➢ Are there any cases where copy of the KYC document related to the overall upkeep of the Branches, during bove in aspects, was uploaded instead of the original? the Audit. d Filed ❖ Whether CCTV camera is working/Recording stored ❖ Whether Burglar Alarm is installed/Working Branch ❖ Whether mandatory display boards are exhibited grams. ❖ (A copy of license, details of the Grievance Redressal d while Officer, Complaint book, Daily gold rates) ❖ Whether physical denomination wise cash is tallying on ken for the date of starting inspection. system ❖ Whether the joint custody arrangement in the Branch proper/Key handover register maintained properly. e Pawn ❖ Whether Muster Roll is kept up to date? ❖ Whether any instances of sharing of passwords e other observed. ature of

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 11 | Date: 27-10-22

Gold Loans-Overdue Management

Loans sanctioned against pledge of gold jewellery as the main products in the product bouquet of Lulu Finser against the collateral security of gold ornaments. Gold months as a demand loans. We have various gold loan In the case of interest jumping schemes, the borrowers rates will move to the higher slabs. Borrowers must rep other charges due (if any) latest by the end of the tenur is not renewed or closed on the due date, we must follo

The loan will be classified as standard accounts till the due date of the loan only. The account will be classified as Special Mention Account (SMA0) upto 30 days from due date and SMA1 for 31-60 days and SMA2 after 60 days till 180 days from due date. If any account crosses 180 days such accounts will have to be classified as NPA (Non-Performing Accounts). If an account turns NPA, the Company will have to make provisions from its earned profits and will hence be a huge loss to the company. Likewise, if we had given 75% as LTV while granting the loan, in case of a gold price falling scenario, the LTV will cross even 90%, which will be against the RB directives, and the company may not also be able to realize the amount fully by disposal of the gold ornaments. Hence Branches should follow up with the borrowers, i the outstanding LTV moves up widely, and also if the accounts move to SMA2 and try to get the interes serviced and/or get the account renewed or closed. The pledged ornaments are liable to be auctioned fo realization of the dues, in case of non-redemption of the ornaments by the borrower by paying the dues on o before the due date, or non-renewal of the account after the sanctioned tenure mentioned in the pledge letter (Pawn Ticket). The Company will resort to recovery steps only when the security value diminishes substantially, when the quality of gold is not found to be acceptable, due to any regulatory / government directives etc. In all such cases proper and reasonable notice shall be given to the customer recalling the loan before expiry of the norma tenure.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

security, commonly referred to as Gold Loans are one of rv. The Company has formulated various lending schemes d Loans are generally granted for a maximum tenure of 12 n schemes ranging from 3 months to 12 months. s must service the interest periodically, or else the interest pay the loan amount together with the accrued interest and re fixed as per norms prevailing in each scheme. If the loan ow up with the customer and get it renewed or closed.

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The company reserves the right to recall the loan and auction the gold without waiting for expiry of the periods stipulated above in case of eventualities leading to probable loss on account of shortfall in the value of security due to fluctuations in Gold Price or any other reasons or any other contingencies, after giving a minimum of 14 days’ notice to the borrower. The Company will make all possible soft or persuasive efforts to get the customer to repay the dues without resorting to disposal of the security. The Company does not accept, nor will it encourage the use any coercive or hard measures to recover its dues from the customer. The Company will resort to disposal of security (gold) only as a last resort and that too after adequate and proper notice is served on the customer to repay the dues. Such notice will be as per the terms contained in the sanction letter (pawn ticket) and in compliance with applicable laws and regulatory guidelines. In the matter of recovery of loans, the Company will not resort to undue harassment viz; persistently bothering the borrowers at odd hours, use muscle power for recovery of loans etc. All efforts will be taken to protect the interests of the customers, while selling the ornaments in auction. The auction process will be transparent in all respects and complying with the instructions issued by the Reservice Bank of India, and the Fair Practices Code adopted by the Company. No unethical practices will be adopted by the company in realizing the dues from the customers. The company officials and the officials of related companies will keep an arm’s length policy in the auction process. The Company will take steps to promptly address all grievances which may arise on account of the auction process. Gold Auction-All that you should know: In Next Issue

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 12 | Date: 28-10-22

Gold Auction-All that you should know Auction Process. When a gold loan account becomes a) Intimation to the borrow overdue or when the LTV exceeds • Once an account has be by registered post with a considerably, and if our efforts to get the failing which the assets p account regularised/renewed or closed further notice for the reco have failed, we must dispose of the gold • The notice should be sen ornaments given as security to realise our • If the loan account is not c dues. We cannot sell the ornaments to a SMS/Notices/Registered jewellery or through a private sale, but auctioned out after giving only through a public auction, complying an authorized Auctioneer with all the RBI directives in this regard, • If any such notices return in a transparent manner. the borrower, reconfirm t In normal circumstances an “Auction Account” will be identified from the below • The acknowledgment c systematically stored for categories: 1. Auction after completing the loan Auction Procedure • Procedure as broadly outlin tenure shall be fully transparent. a) All gold loan accounts in which the • The auction shall be interest and other charges not paid in at least two newspapers, on full, on completion of the tenure fixed • Copy of the auction announ as per the norms of the scheme. • Lulu Financial Services or b) All gold loan accounts which has participate or take part as a been classified as NPA in transactions during an auct accordance with the policies laid • Gold pledged shall be aucti down by the Company. • While auctioning the g 2. Auction before completing the loan ornaments. The reserve tenure. per cent of the previous 30a) Auction due to depletion in • The auction shall be that has extended the loan security value – If there is an • However, we may pool gold erosion in the realizable value of the the district, subject to meeti asset pledged under any gold loan (i) The first auction has scheme to cover the dues (Principal (ii) Ensure that all oth + Interest + other charges), such reserve price, arms-len cases can be taken for auction. • It shall be mandatory on th b) Auction of Gold ornaments and the outstanding dues a identified as low quality. The loan to the borrower. account in which pledge of low- • The proceeds of auction, n quality gold ornaments have been towards the loan outstandin detected after disbursement may be by resorting to various step taken up for auction. • Excess if any shall be refun In all cases a demand shall be made on • The company should maint the borrower to regularize the account by • Due diligence of the particip remitting the required amount/pledging Important. additional gold/servicing the interest Auction shall be resorted to as o accrued or renewing/closing the account All efforts will be taken to protect and 14 days’ time shall be given to the The Company will not resort to muscle power for recovery of loa borrower to regularize the account.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

wers een identified as “Auction Account” a notice shall be send to the borrower acknowledgement due card requesting them to immediately pay the dues pledged under the loan account would be put on public auction without overy of the dues in the loan account. nt in an approved format giving the date, time, and venue of the auction. closed on completion of tenure and even after sending reminders through d letter at frequencies stipulated by the Company, the ornaments will be g a minimum of 14 days’ prior notice by way of an Auction Notice sent by r to the borrower. ned undelivered to the borrower, intensive action should be taken to find the KYC documents and re-evaluate the asset pledged. card or unopened, undelivered letters etc. should be preserved and future retrieval.

ned in the Gold Loan SOP shall be followed and the auction of gold jewellery

e announced to the public by issue of advertisements in ne in vernacular and another in national daily newspaper. ncement shall be displayed in the notice board of the branch. its Group Companies or its employees and its other related entities shall not a bidder in the auction to ensure that there is an arm’s length relationship in all tion process. ioned only through auctioneers approved by the Board. gold the Company must declare a reserve price for the pledged e price for the pledged ornaments shall not be less than 85 -day average closing price of 22 carat gold conducted in the same town or taluka in which the branch is located. d jewellery from different branches in a district and auction it at any location within ing the following conditions: s failed. er requirements of the extant directions regarding auction (prior notice, ngth relationship, disclosures, etc.) are met. he part of the company to provide full details of the value fetched in the auction adjusted and any amount over and above the loan outstanding shall be payable

net of auction related expenses and incidental charges shall be appropriated ng. The Company may decide to recover shortfall if any after such appropriation ps including legal action. nded to the customer. tain all proper records/minutes of the auction. pants in the auction and obtention of earnest money are required.

only a last resort, when all our other efforts failed. t the interests of the customers, while selling the ornaments in auction undue harassment viz; persistently bothering the borrowers at odd hours, use ans.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue No: 13-Date:31/10/22

Fair Practices in Lending.

Our Company is determined to follow the RBI directives meticulously in re practices in lending. The following are the Company's key commitments to customers: • To provide professional, efficient, courteous, diligent, and speedy servi • Not to discriminate on the basis of religion, caste, sex, descent in any m • To be fair and honest in any advertisement and marketing of loan prod • To provide customers with accurate and timely disclosure of terms, c liabilities as regards loan transactions. • If sought, to provide such assistance or advise to customers seeking lo • To attempt in good faith to resolve any disputes or differences with cust up complaint redressal system within the organization. • To comply with all the regulatory requirements in good faith. • Seek to use governance structures that provide appropriate levels of areas of audit, risk management and potential conflicts of interest a compensation and other policies that align the interests of owners and • Seek to confirm that the funds do not flow to companies that utilize child or generally maintain discriminatory policies against religion or gender.

Lending against collateral of gold jewellery

The Company has put in place a Board approved policy for lending against alia, cover the following: • Adequate steps to ensure that the KYC guidelines stipulated by RBI a and to ensure that adequate due diligence is carried out on the extending any loan, • Proper assaying procedure for the jewellery received, • Internal systems to satisfy ownership of the gold jewellery, • The Company shall ensure that a loan sanction letter (pawn ticket customer containing all the terms and conditions governing the loan f language or other language understood by the customer. The loan san ticket) will also mention the loan amount, loan account number, intere loan processing fees etc • Adequate systems for storing the jewellery in safe custody, reviewing t on-going basis, training the concerned staff and periodic inspection by to ensure that the procedures are strictly adhered to. Normally, such lo extended by branches that do not have appropriate facility for storage • The jewellery accepted as collateral should be appropriately insured, • The Company will deliver the security (gold) to the customer immediatel of the loan in the same condition as was at the time of sanction of the l • Transparent auction procedure in case of non-repayment with adequa the borrower. There should be no conflict of interest and the auction pro that there is arm’s length relationship in all transactions during the auct group companies and related entities, • The auction should be announced to the public by issue of advertiseme newspapers, one in vernacular language and another in national daily • As a policy, the Company themselves will not participate in the auction • Gold pledged will be auctioned only through auctioneers approved by t • The policy shall also cover systems and procedures to be put in plac fraud including separation of duties of mobilization, execution, and app

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

Other loans and their processing

espect of the Fair

ices. manner. ducts. costs, rights, and

oans. tomers by setting

f oversight in the and to implement management. d or forced labour . gold that will inter

are complied with customer before

t) is given to the facility in the local nction letter (pawn est rate, charges,

a. All communications to the customers/borrowers shall be made in English/ vernacular language or a language as understood by the borrower. b. Loan application forms should include necessary information which affects the interest of the borrower. c. All applications shall be serially numbered, and all valid loan applications shall be logged into the loan origination system where a unique agreement reference is generated. Customer will be informed of such agreement number. The loan application form shall indicate the documents required to be submitted with the application form. d. Loan applications shall be processed and after necessary due diligence is done; customer shall be issued a sanction letter. The acceptance of the terms and conditions by the borrower shall be kept by the Company for its records. Such agreements and documents shall have the schedule for interest rates and charges mentioned in bold. All the terms and conditions shall be explained to the customers. e. The Company shall not in the normal course make any changes / modifications in the terms and conditions of the loan.

Recovery of loans a)

the systems on an y internal auditors oans should not be of the jewellery,

b)

ly upon settlement loan ate prior notice to ocess must ensure tion including with

c)

ents in at least two newspaper, ns held. the Board, ce for dealing with proval.

The Company will not, as a matter of fair dealing, normally recall the loan before the initially agreed tenure except in unanticipated or abnormal circumstances where the Company’s interests are adversely affected (when the security value diminishes substantially, when the quality of gold is not found to be acceptable etc) The Company will make all possible soft or persuasive efforts to get the customer to repay the dues without resorting to disposal of the security. The Company does not accept, nor will it encourage the use any coercive or hard measures to recover its dues from the customer. In the matter of recovery of loans, the Company will not resort to undue harassment viz; persistently bothering the borrowers at odd hours, use muscle power for recovery of loans etc

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

*******

Issue 14 | Date: 01-11-22

Customer Complaint Management. (Grie The quick and effective handling of complaints as well as prompt, corrective and preventive actions to improve processes are essential to provide excellent customer service to all segments of customers. To achieve this, the Company has a clearly documented policy for redressal of customer grievances in line with the RBI guidelines. Through this policy, the Company ensures that a suitable mechanism exists for receiving and addressing complaints from its customers / constituents with specific emphasis on resolving such complaints fairly and expeditiously regardless of sources of the complaints. The policy seeks to ensure that: Adequate information shall be made available to all customers at all branches about various channels for seeking redressal of grievances arising out of any perceived deficiency in service by the Company. Such information shall include the name and contact number of grievance redressal officer with whom such complaints can be addressed and escalation thereafter. This will be updated as and when any change occurs in the process emerging out of internal reasons or change in guidelines from the regulators. Any complaint received - either verbally, via e-mail or in writing - from the customers, shall be logged into a tracker (Compliant Register). With this, the Company shall not only ensure that all the complaints received are recorded and resolved but shall also ensure effective monitoring / escalation mechanism to the senior functionary responsible to make sure that none of the complaints remain unresolved. The grievance redressal channels of the Company will also deal with the issues relating to services provided by Outsourced Agencies and shall sensitize the respective outsourcing service providers to resolve customer issues expeditiously. All complaints received shall be handled as below: • First level Branch Manager/In-charge • Next Level Grievance Redressal Officer at HO. In case a customer is not satisfied with the resolution provided by the front office staff, the customer shall be provided an option to write to the Grievance Redressal Cell either through an e-mail or through a letter. The contact details of the Grievance Redressal Cell shall be displayed at all the branch premises of the Company as well as on the website. The Unit shall be responsible for providing adequate resolution to all escalated complaints received at their end. Complaints shall be resolved in a proper and time bound manner with detailed advice to the customer. In case the resolution needs time, an interim response, acknowledging the complaint shall be issued. Customer Complaints received through e-mails shall be responded through e-mail Only. We shall be responsible to provide final resolution response to customers raising complaints via E-mail.

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Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

evance Redressal Mechanism)

At the operational level, the Company must display the details of the Grievance Redressal Officer prominently, for the benefit of their customers, at their branches / places where business is transacted: the name and contact details (Telephone / Mobile nos. as also email address) of the Grievance Redressal Officer who can be approached by the public for resolution of complaints against the Company. If the complaint / dispute is not redressed within a period of one month, the customer may appeal to the Officer-in-Charge of the Regional Office of DNBS of RBI, under whose jurisdiction the registered office of the NBFC falls. In short, the public notice should serve the purpose of highlighting to the customers, the grievance redressal mechanism followed by the company, together with details of the grievance redressal officer and of the Regional Office of the RBI. y Parameters of the Grievance Redressal Mechanism ievance against the Company on any one or more of the grounds mentioned ow may be made by the complainant (himself or through his authorised esentative (other than an Advocate), to the NBFC Ombudsman within ose jurisdiction the Branch/ Registered Office of the Company complained inst, is located: Non-presentation or inordinate delay in the presentation of post-dated cheques provided by the customer. Failure to convey in writing, the amount of loan sanctioned along with terms and conditions including annualised rate of interest and method of application thereof. Failure or refusal to provide sanction letter/ terms and conditions of sanction in vernacular language or a language as understood by the borrower. Failure or refusal to provide adequate notice on proposed changes being made in sanctioned terms and conditions in vernacular language as understood by the borrower. Failure or inordinate delay in releasing the securities documents to the borrower on repayment of all dues. Levying of charges without adequate prior notice to the borrower/ customer. Failure to provide legally enforceable built-in repossession clause in the contract/ loan agreement. Failure to ensure transparency in the contract/ loan agreement regarding Notice period before taking possession of security. Circumstances under which the notice period can be waived. the procedure for taking possession of the security. a provision regarding final chance to be given to the borrower for repayment of loan before the sale/ auction of the security. the procedure for giving repossession to the borrower and the procedure for sale/ auction of the security. on-observance of directions issued by Reserve Bank to the non-banking ncial companies. Non- adherence to any of the other provisions of Reserve Bank Guidelines Fair Practices Code for Non-Banking Financial Companies.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 15 | Date: 02-11-22

Our Customer Acceptance Policy (CAP) Our Board approved Customer Acceptance Policy lays down criteria for acceptance of customers while giving our various loan products. While taking decision to grant any facilities to the customers as well as during the continuation of any facilities the following norms and procedures will be followed by the company. ✓ No account will be opened in anonymous or fictitious/benami name. ✓ Customers will be accepted only after verifying their identity, as laid down in Customer Identification Procedures. Necessary checks will be done before opening a new account to ensure that the identity of the Customer does not match with any person with known criminal background or with banned entities. ✓ We will refrain from opening an account where the company is unable to apply appropriate Customer Due Diligence (CDD) measures either due to non-cooperation of the customer or non-reliability of the documents/information furnished by the customer. ✓ No transaction or account-based relationship shall be undertaken without the Customer Due Diligence procedure (CDD), set out by the Company. ✓ A Unique Customer Identification Code (UCIC) shall be allotted to new and existing customers. We shall apply the CDD procedure at the UCIC level (For our company UCIC and Customer ID are one and the same). Thus, if an existing KYC compliant customer of LFS desires to open another loan account with LFS, there shall be no need for a fresh CDD exercise and customer ID creation. ✓ The LCode software will not allow creation of more than one customer ID in the name of a single customer across all branches of the company. ✓ Classify customers into various risk categories and based on risk perception, apply the acceptance criteria for each category of customers. Also, a profile of each customer will be prepared based on risk categorization ✓ Appropriate Enhanced Due Diligence (EDD) measures shall be adopted for high-risk customers from AML perspective, especially those for whom the sources of funds are not clear, transactions carried through correspondent accounts and customers who are Politically Exposed Persons (PEPs) and their family members/close relatives. ✓ In respect of unusual or suspicious transactions/applications or when the customer moves from a low risk to a high-risk profile, appropriate EDD measures shall be adopted.

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

✓ Not to open an account or close an existing account, where CDD measures as defined in this Policy could not be applied, due to non- cooperation of the customer or non-reliability of the data/ information furnished to LFS. Suitable built – in safeguards shall be provided to avoid any harassment to Customers ✓ Implementation of CAP should not become too restrictive and result in denial of LFS services to general public, especially to those who are financially or socially disadvantaged ✓ The decision to open an account for Politically Exposed Person (PEP) should be taken at a senior level. It may, however, be necessary to have suitable built-in safeguards to avoid harassment of the customer. For example, decision to close an account may be taken at a reasonably high level after giving due notice to the customer explaining the reasons for such a decision ✓ Circumstances, in which a customer is permitted to act on behalf of another person/ entity shall be clearly spelt out ✓ The mandatory information to be sought for KYC purpose while opening an account and during the periodic updation, is specified ✓ Optional/additional information is obtained with the explicit consent of the customer after the account is opened ✓ Suitable system is put in place to ensure that the identity of the Customer does not match with any person or entity, whose name appears in the sanctions lists circulated by Reserve Bank of India ✓ LFS shall seek only such information from the customer which is relevant to the risk category and is not intrusive. Any other information from the customer should be sought separately with his/her consent and after opening the account. ✓ Necessary checks should be conducted in CIBIL/Credit Information Company (not applicable to gold loans), any notified list of RBI or any other Regulator before accepting the customer and opening a new account so as to ensure that the identity of the customer does not match with any person with known criminal background or with banned entities such as individual terrorists or terrorist organizations. ✓ The existing customers and new employees during hiring would be screened against the consolidated list of individuals and banned entities circulated by RBI to ensure that there are no matches. ✓ Customer profile should be a confidential document and details contained therein shall not be divulged for cross selling or any other purposes within the Company without the express permission of the customer.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 16 | Date: 03-11-22

Lulu Personal Loans

Personal Loans are intended to help meet any urgent personal finan needs of Individuals (Applicants other than individuals are not com under this product) such as renovating home, marriage-rel expenses, children’s education, purchasing household items, gadg or home appliances, meeting unexpected medical expenses or other emergencies, acquiring properties, etc. Loans will be granted to individuals only after the Lulu Finser satisfied about the credit worthiness, integrity, local standing, repayment capacity of each borrower. Target Customers Salaried Employees working in a reputed company. • Private sector employees • Public sector employees • Govt. Employees. • Retired employees having regular pension income. Eligibility criteria • Minimum Age 21. Maximum Age at the time of application is Years for Private sector employees and 55 for Govt. and Pu sector undertakings. • Co applicant is mandatory for all loans. Spouse/Father/ Mother worker (anyone in this order) should join as co-applicant. • The applicants should be full-time employees who are on regular / permanent rolls of the Company who have compl two years unblemished service regardless of rank and positio • The total deductions from the monthly salary including instalment of the loan availed shall not exceed 60% of the net home salary. • Cibil Score for the applicant should be minimum 650. • The track should be clean and No DPD above 30+ shall no consider for granting loan under this product. • Minimum Net Monthly salary should be of Rs.15000/-. • Minimum monthly pension should be Rs. 20000 in the cas pensioners • Maximum Loan to be restricted to 5 times of Net Salary/Pensio • Minimum Loan amount Rs. 50000/- Maximum Rs 2 Lakhs

Period: Minimum 12 months; Maximum 36 Months. The repayment of shall be in EMI for the fixed tenure at the tim agreement. No repayment holidays. Interest Rate: 18% Processing fee: 2%+GST (Minimum Rs. 300/-)

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

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Other Charges: • Late Payment fee: 2% month (24% per annum) for the defaulted amount for the defaulted period. • Pre-closure charges: 4% of principal outstanding at the time of closure. • Penalty for cheque/NACH bounce: Rs. 500+ GST Disbursement: Disbursement to the Customer bank account given at the time of application. No disbursement is allowed to third party bank account. It is not mandatory to disburse the amount to the salary credited account. Can disburse to any bank account in the name of applicant. Field Verification. Field visit at residence is required. Field visit at the workplace also to be done and photos to be submitted. The field visiting official should be seen in the photo with the background in site. Documents Required • Loan application • KYC documents (AADHAAR mandatory) • Copy of ID card issued by Employer. • Identity Proof: Aadhaar Card/ PAN Card/ Driving License/ Voter’s ID/ Passport • Address Proof: Aadhaar Card/ Passport/ Bank Account Statement/ Lease/ Property purchase Agreement/ Utility Bill (not more than 3 months old)/ Driving License Income documents: • Salaried - Latest form 16 or 3 months' pay slip. • Bank account statement for 6 months into which salary credited. • In the case of pensioners: Pension Book, Pensioner’s ID Card, and Bank account statement showing monthly pension credit. Other Documents: • Document to prove service vintage of two years • Copy of ID card issued by the employer. • Loan agreement in Rs. 200/- Stamp paper, DPN • 3 Security cheques- and NACH Mandate.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 17 | Date: 04-11-22

Business Loans/MSME Loans Business Loans are instalment loans for the purchase/ Renovation/Stock Addition/Asset Purchase for the purpose of upgradation of business to the next level. A Business loan can be availed by Individuals & Sole Proprietors who satisfy the credit parameters prescribed by Lulu Finserv. MSME loans are instalment loans given for manufacturing activities and service Enterprises in the MSME segment as per the MSME definition in the MSMED Act. All enterprises are required to register online on Udyam Registration Portal and obtain ‘Udyam Registration Certificate’. Lulu Finserv would assess the credit worthiness of the applicant, approve, and disburse the Unsecured loan or mark a hypothecation lien on the Stocks, Receivables, Assets as security. Collateral of property will be insisted based on the product norms. Target Segment Those who intend for Renovation, Expansion of existing business, and addition of stock. Those who are generating income with the help of newly purchased assets etc. The target customers will be Business enterprises belonging to the priority sector engaged in manufacturing, trading, and services under the following segments. • Individuals • Proprietary Firms Eligibility • Individuals/ Self-employed professionals engaged in manufacturing / Service Trading are eligible to be financed under the scheme. • Net worth of the borrower/s shall be positive • Take over loans are permitted under the scheme. While considering take over loans’ utmost care shall be taken to assess the viability/past performance of the business unit. • Borrowers enjoying other credit facilities with other Banks/FIs can also be covered under the scheme. However, it shall be ensured that same asset is not already financed. • Businesses filing GST returns shall be most preferred • Minimum Age 24. Maximum Age at the end of loan tenor shall not exceed 70 Years. • Others: Minimum 2-year Business vintage • Turnover and profit should have a positive trend for the past two years. Specific exclusions: • Real Estate/Jewellery/Capital Market • Activities of speculative nature. • Bar & Restaurant • Rented residence cum office profiles Loan Amount: Minimum Rs. 50000/- Maximum Rs. 2.00 L (without landed property as collateral) and Rs. 15 L (with landed property/other liquid assets as collateral) • Period: Minimum 12 months, Maximum 36 months repayable in EMI. No running account like cash credit/overdraft permitted.

Security Business L Asset Pu Renovation be endorse In Case of created in f the valuatio valuation e by the appl Other Con Co-applica Business/M individuals Spouse/Fa Interest Ra Processing ) Other Cha • Late P annum defaul • Pre-cl outsta • Prepa prepa • Penal 500+ Disbursem given at the to the supp Cibil Score • Credit parties party i • Minim above • Never credit • Not m month • No wr Field Verif • Field design • Selfie with a • Selfie along sides • Resid • Field cases

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

Loan-Secured- (For the Purpose of urchase/ Stock additions/Business n)- Hypothecation in favour of LFS to ed. f loans with collateral: EM should be favour of LFS (LTV derived based on on done by the authorised external expert on land and buildings provided licant.) nditions ant Mandatory for all types of MSME loans in the name of and sole proprietorship concerns. amily Member can be a co-applicant. ate: 18% g fee: 4% + GST (Minimum Rs. 400/-

arges: Payment fee: 2% month (24% per m) for the defaulted amount for the lted period. losure charges: 5% of principal anding ayment charge- 5% of amount aid. lty for cheque/NACH bounce: Rs. GST. ment to the Customer bank account e time of application or direct payment plier. e t bureau checking is a must for all s to the contract even if additional is included. mum Cibil score should be 650 and e. r 60+ DPD in loans and 90+ DPD in cards more than one 30+ DPD in last 12 hs ritten off & Suit filed cases. fication verification should be done by nated verifying officers photo of residence is a must along another residence photo. photo Shop/Business Establishment with another 8 photos showing all of the Shop/Business establishment. dence Field verification is mandatory Investigation must be done for all s.

Process: The Field Investigation report is to be prepared by designated verifying officers/Branch Heads • FI Report should contain details of applicant, co applicant and guarantor if any and report should be properly scrutinized by verifying officers with regard to residence, income source and their stability and also living standard of the customer • A field investigation report should contain all details about the applicant, co-applicant, source of income also that of the guarantor if any • If at any point of time guarantor is not a blood relation and staying separately from applicant residence, in such cases residence verification should be done of guarantor’s house as well. • A selfie photo of residence or office with additional photo should be taken along with other photos of Shop/Business establishment. Residence Stability Minimum 6 Month in case of owned House. Minimum 12 months stability in case of rented house. If current residence is ownedNo minimum stability norm. •

Documents Required • Loan Application form/CKYC Application form duly filled in with photograph. • GST Registration certificate if any • Udyog Aadhar/Udyam Registration. • Registration certificate from statutory bodies • License from Local Body. • Rent Agreement if run in rented premises or Land Tax Receipt if in own premises. • All the required license from regulatory bodies. • Copy of valid ID proof with photograph and Address proof. • Property documents copy (in case of mortgage loan) • 3 signed EMI Cheques. • NACH mandate – (2 Nos) including one Security NACH mandate. • 6 months Bank statement to be verified. Not more than 3 cheque returns for 6 months • LTR is mandatory for all cases (self-owned, parental, spouse owned, Co applicant/Guarantor owned.) • Loan Agreements in Rs. 200/-stamp paper. • Any one document with the signature of the Applicant & Co-applicant for signature verification.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 18 | Date: 07-11-22

Our Interest Rate Policy

Our Company has framed an Interest Rate Policy as per the Master Direction of RBI and got it approved by the Board of Directors. As per the master direction every NBFC shall adopt an interest rate model considering relevant factors such as cost of funds, margin and risk premium and determine the rate of interest to be charged for loans and advances. The rate of interest and the approach for gradations of risk and rationale for charging different rate of interest to different categories of borrowers shall be disclosed to the borrower or customer in the application form and communicated explicitly in the sanction letter. The rate of interest must be annualised rate so that the borrower is aware of the exact rates that would be charged to the account. Though interest rates of NBFCs are not regulated by the RBI, rates of interest beyond a certain level may be seen to be excessive and can neither be sustainable nor be conforming to normal financial practice. Boards of NBFCs shall lay out appropriate internal principles and procedures in determining interest rates and processing and other charges. In this regard, the guidelines indicated in the Fair Practices Code about transparency in respect of terms and conditions of the loans are to be kept in view. In compliance with these regulatory requirements and the Fair Practices Code adopted by the Company, we have adopted an Interest Rate Policy broadly outlining the Interest Rate Model and the Company’s approach of risk gradation in this regard for its lending business. The main objectives of the interest rate policy are to: • Adoption of an interest rate model along with approach for gradations of risk & rationale for charging differential rates. • Ensuring that the interest rates are determined in a manner as to ensure long term sustainability of business by taking into account the interests of all stakeholders. • Develop and adopt a suitable model for calculation of the interest rates for different products. • Enable fixation of interest rates which are reasonable: both actual and perceived. • Ensure that computation of interest is accurate, fair and transparent in line with regulatory expectations and market practices. • Charge differential rates of interest linked to the risk factors as applicable. • Facilitate transition to stricter income recognition norms that are stipulated by RBI based on the Scale Based Regulation and adoption of best practices.

The following are t of the company: • The rate of in as cost of fu guidelines of • The Board of (RMCE-Risk Schemes sha Fixation. • In addition to and various r such other co • Interest charg interest, risk i Our pricing strate • The ROI to th the organizat • The experien this gives the • The company this segment segment has • The main spi the customer • Besides the n interest for an interest on ot processing fe • When the loa due penal inte and payable. of the 'norma • The interest s from the date loan within 7 payable. If th of Rs.50/- wil repayment of slabs built int • Interest rate instructions/c Where the ra annualized r requirements • Pre-payment option shall b • Keeping in vi the maximum excluding com

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

the guiding principles of fixing interest rate on gold loans and other loan schemes

nterest on gold loan schemes are fixed taking into account various factors such unds, overhead costs, fair return on capital employed, market conditions and Reserve Bank of India regarding Fair Practices Code. f Directors of the Company or a Committee drawing authority from the Board, Management Committee of Executives) while fixing interest rates on Gold Loan all be guided by the policy document approved by the Board for Interest Rate

cost factors the Board or the Committee shall be guided by the market conditions relevant rules and regulations, if any, prescribed by the Reserve Bank of India or ompetent authority from time to time. ged under various Gold Loan Schemes shall have components such as basic interest and penal interest. egy he customer is determined based on cost coverage and reasonable returns to tion. nce of the company has been that its target segment prefers fixed rate loans as em predictability of their liabilities. y’s offering in the market will be in line with the offering from other key players in and reasonable as compared to other informal sources of funds that the targeted s availed in the past. irit underlying the methodology is to project a transparent and fair approach to rs. normal interest, the Company may levy additional interest in the form of penal ny delay or default in payment of dues by the customer / borrower or additional ther facilities etc. The Company may also levy other financial charges including ees, cheque bouncing charges, pre-payment / foreclosure charges etc. an remains outstanding beyond the 'normal' tenure without servicing of interest erest may be charged at a rate not exceeding 2% per month on the amount due . Penal interest provisions shall be calculated and will apply only after the expiry al' tenure. shall be calculated for the actual number of days the loan remains outstanding, e of loan disbursement to the date of closure. However, if the borrower closes the days from the date of disbursement, then a minimum interest for 7 days shall be he amount of interest so calculated is less than Rs.50/- then a minimum interest ll be charged. A rebate in interest rate may be provided for encouraging timely f interest or closure of the loan on or before the specified tenor, as per different to each scheme. e quoted shall be on annualized basis only in all documents, internal communications, and publicity materials (pamphlets, brochures, hoardings, etc). ates are mentioned in non-annualized form (e.g. in product promotion) the rate shall also be mentioned along with so as to comply with regulatory s and Fair Practices Code. t options available to the customer and the penalty payable for exercise of such be mutually agreed to on a case-to-case basis and communicated to the customer iew the regulatory (RBI) expectations from NBFCs and the Fair Practices Code m interest rate chargeable shall be fixed at 24% p.a during the normal loan tenure mpounding effect where applicable under any schemes.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 19 | Date: 08-11-22 Basic Risk Management ConceptsReputation Risk Reputation risk is the loss caused to the Company due to its image or standing being tarnished by certain incidents or actions arising from its business operations. Such incidents or actions may be attributable to the Company, or any employee(s) or executive(s) committed either consciously or otherwise. Reputation risk could result in loss of revenues, diminished shareholder value and could even result in bankruptcy in extreme situations. Reputation loss can be caused by mere negative perceptions and could occur even if the Company is actually not at fault. Reputation risk is considered even more threatening to Company value than credit risk. In fact, good reputation is an intangible asset like goodwill. The Company recognizes that while reputation is built over years it can get blotted in a flash. The Company, therefore, considers protecting its reputation of paramount importance. Causes Some common examples of actions resulting in fall in reputation are deliberate dishonest actions of employees especially those in senior management, recruitment of persons without proper screening process, frequent serious and/or large value frauds, window dressing of business position, data security breaches, violation of customer secrecy, dealing with criminals and extending loans for unlawful activities, poor security arrangements, obsolete system / procedures / practices, dealing with vendors having bad reputation, adopting illegal or unethical business practices, evasion of taxes, charging exorbitant interest rates, dishonouring commitments etc

Mitigat Risks to • Inst pre the • A c ope stat • Ma acro Dire and • Enc emp emp • Ens othe • Inst sup me • Ma clar • Com train pre cus • Grie has to a ava • Del to a ma Pra • Stri ass the • Ref che the carr • Leg are rela Com

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

tion o the Company’s reputation are addressed by: tituting a strong risk management system including fraud evention and creating a culture of risk awareness across e organization. commitment to transparency, morality and accuracy in erations including the correctness of financial tements. aintaining a robust and effective communication channel oss the organization including all stakeholders such as ectors, Regulators, Lenders, Customers, Employees, d Vendors etc. couraging and rewarding ethical behavior amongst ployees. Ensuring immediate but fair action against ployees indulging in unethical action or behavior. suring prompt compliance with regulatory directives and er laws both in letter and spirit. titutionalizing customer service excellence pplemented with an efficient complaint redressal echanism. aintaining effective liaison with media and issuing prompt rifications or rebuttals to negative reports. mpliance with Fair Practices Code: All employees to be ined and instructed to follow fair practices as per RBI escribed guidelines in all their dealings with the stomers. evance Redressal Mechanism (GRM): The Company s a defined GRM in place and the same is communicated all customers at the time of sanction of loan. This is also ailable on the website of the Company. linquency Management: The Company does not resort any coercive recovery practices and all recoveries are ade in accordance with the Recovery policy and Fair actice Code of the Company. ingent Selection Criteria: Vendors, employees and other sociates of the Company are selected after confirming to e stringent criteria prescribed by the management. ference Check: The management carries out a reference eck for all the vendors from the market before having em on Board so as to ensure utmost integrity while rying out their duties. gal Obligations: All employees, vendors and associates e required to sign legal contracts wherein specific clauses ated to non-disclosure are entered so as to ensure the mpany from any reputational risks.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Issue 20 | Date: 09-11-22 Basic Risk Management Concepts

Regulatory/Compliance Risk The company is exposed to risks attached to various statutes and regulations. The company is mitigating the risk through regular review of legal compliances carried out through internal as well as external compliance audit. LFS is present in an industry where the Company must ensure compliance with regulatory and statutory requirements. Non-Compliance can result in stringent actions and penalties from the Regulator and/or Statutory Authorities and which also poses a risk to Company’s reputation. These risks can be: • Non-Compliance with RBI Regulations • Non-Compliance with Statutory Regulations • Non-Compliance with covenants laid down by Lenders The Company recognizes that the regulatory landscape is under periodical review, and this requires the Company to be proactively prepared, as best as possible, to meet with the challenges posed by the changes. There is also an element of unpredictability over possible future regulatory action. The Company will respond effectively and competitively to regulatory changes, maintain appropriate relationship with the regulators / authorities, strengthen the reliance on capital and improve the quality of in- house compliance. All reports, returns and disclosures stemming from regulations will be submitted promptly and accurately to reflect the correct position. Business processes will be defined in a manner to ensure comprehensive regulatory compliance.

Competition risk Competition risk repre business arising from and intensity of other engaged in the same b the business growth. Coping with competi The Company will broa competition by: • Accepting and rec of competitors as a competition could specific • Identifying the competitors performance • Assessing the b competitors and countervailing me threats • Studying and c performances of judiciously collecte • Continuously revie and services to e tune with market expectations, ke regulatory guidelin • Recognizing the unproductive cos productivity of em offerings more com • Studying or a preferences and new products an value addition to market players • Ensuring transpa dealings with cus promoting custom as an important se

We Take a We have so far come out with 20 issues of Credit Snippets. This was a Since we have covered almost all th Head-Cred

Lulu Financial Service

Registered Office: Y Tower, 12/971 Kakkanad, Ernak

esents the challenges to an increasing number r existing or new firms business which threaten

ition: adly address the risks of

cognizing the presence a fact of business. Such d be universal and area major and nearest for benchmarking

business strategies of d ensuring suitable echanisms to meet such

comparing (with) the the competitors with ed information and data ewing existing products ensure that they are in demand and customer eeping in view the nes e need to reduce sts and improve the mployees to make the mpetitive anticipating customer d accordingly develop nd services with visible o be ahead of other

arency and fairness in stomers and adopting / mer service excellence elling tool.

Strategic Risk It is the risk to earnings and capital arising from lack of responsiveness to changes in the business environment and/or adverse business decisions, besides adoption of wrong strategies and choices. Mitigation: The management is proactive in its approach towards changes in economic/business environment as the business strategies are regularly discussed with the senior officials of the organization so that adequate steps can be taken. Also, important strategic matters are referred to the Board, consisting of members with diversified experience in the respective fields, for intense deliberations, so as to derive the benefit of collective wisdom. Human Resource Risk Human Resource adds value to the entire company by ensuring that the right person is assigned to the right job and that they grow and contribute towards organizational excellence. Our growth has to be driven by our ability to attract top quality talent and effectively engage them in right jobs. Risk in matters of human resources is sought to be minimized and contained by following a policy of providing equal opportunity to every employee, inculcate in them a sense of belonging and commitment and also effectively train them in spheres other than their own specialization. Employees will be encouraged to make suggestions on innovations, cost saving procedures, free exchange of other positive ideas etc. It is believed that a satisfied and committed employee will give of his best and create an atmosphere that cannot be conducive to risk exposure. Employeecompensation is always subjected to fair appraisal

a Break!! a follow up initiative of the training conducted on 4th September 2022. he topics now, We Take A Break. dit & Risk.

es (India) Private Ltd

1-B Civil Line Road, Vazhakkala, kulam-682030

Lulu Financial Servic

Registered Office: Y - TOWER, 12/971 KAKKANAD, Ernakulam

ces (India) Private Ltd

- B CIVIL LANE ROAD, VAZHAKKALA, m, Kerala 682030.India