Policies

• The Company will convey in writing to the borrower in the vernacular language or a language as understood by the borrower by means of sanction letter or otherwise, the amount of loan sanctioned along with the terms and conditions including annualised rate of interest and method of application thereof and keep the acceptance of these terms and conditions by the borrower on its record.
• The Company will mention the penal interest charged for late repayment in bold in the loan agreement.
• The Company will furnish a copy of the loan agreement preferably in the vernacular language as understood by the borrower along with a copy each of all enclosures quoted in the loan agreement to all the borrowers at the time of sanction / disbursement of loans.

• The Company will give notice to the borrower in the vernacular language or a language as understood by the borrower of any change in the terms and conditions including disbursement schedule, interest rates, service charges, prepayment charges etc. The Company should also ensure that changes in interest rates and charges are effected only prospectively. A suitable condition in this regard should be incorporated in the loan agreement.
• Decision to recall / accelerate payment or performance under the agreement will be in consonance with the loan agreement.
• The Company will release all securities on repayment of all dues or on realisation of the outstanding amount of loan subject to any legitimate right or lien for any other claim the Company may have against borrower. If such right of set off is to be exercised, the borrower will be given notice about the same with full particulars about the remaining claims and the conditions under which the Company is entitled to retain the securities till the relevant claim is settled/paid.

• The Company will refrain from interference in the affairs of the borrower except for the purposes provided in the terms and conditions of the loan agreement (unless new information, not earlier disclosed by the borrower, has come to the notice of the Company).
• In case of receipt of request from the borrower for transfer of borrowal account, the consent or otherwise i.e. objection of the Company, if any, will be conveyed within 21 days from the date of receipt of request. Such transfer shall be as per transparent contractual terms in consonance with law.
• In the matter of recovery of loans, the Company will not resort to undue harassment viz. persistently bothering the borrowers at odd hours, use of muscle power for recovery of loans, etc. To avoid rude behavior from the staff of the Company, the Company shall ensure that the staff are adequately trained to deal with the customers in an appropriate manner.

Repossession of vehicles The Company has a built in re-possession clause in the contract/loan agreement with the borrower which is legally enforceable. To ensure transparency, the terms and conditions of the contract/loan agreement contains provisions regarding: (a) notice period before taking possession; (b) circumstances under which the notice period can be waived; (c) the procedure for taking possession of the security; (d) a provision regarding final chance to be given to the borrower for repayment of loan before the sale / auction of the property; (e) the procedure for giving repossession to the borrower and (f) the procedure for sale / auction of the property.

• The Board of Directors will adopt an interest rate model for determining the rate of interest to be charged on loans and advances, processing and other charges taking into account relevant factors such as, cost of funds, margin and risk premium, etc. 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 rates of interest and the approach for gradation of risks shall also be made available on the web-site of the Company. The information published in the website or otherwise published should be updated whenever there is a change in the rates of interest.
• The rate of interest should be annualised rates so that the borrower is aware of the exact rates that would be charged to the account.

The company aims to provide best customer service and is consistently striving on creating a robust and efficient customer service platform. If the customers have any issues or wish to register a complaint, they can reach us at any of the following:

STEP 1: The customer can call us and log his grievances at: +91 040 6650 5000.

STEP 2: Customers can also write their grievances at e mail ID: grievance@isfc.in

STEP 3: Customers can also write to:Mr Ankur Aggarwal,

Chief Operating Officer,

Indian School Finance Company Pvt Ltd,

8-2-269/2/52, Plot No 52, Sagar Society, Road No. 2,Banjara Hills, Hyderabad - 500034.

Escalation: If the complaint of the customer is not redressed within 1 month from the lodging of complaint with company, the customer may appeal to the Regional office of Reserve Bank of India at following address Office In charge, Department of Non Banking Supervision, 6-1-56, Secretariat Road, Saifabad, Hyderabad-500004, Phone: 040-23241270, Email:-dnbshyderabad@rbi.org.in

A periodical review of the Fair Practices Code and the functioning of the grievances redressal mechanism at various levels of management would be undertaken by the Company. The Company shall abide by this Fair Practices Code following the spirit of the Code and in the manner it may be applicable to its business.

The Company shall put the above Fair Practices Code outlined hereinabove on its web site, for the information of various stakeholders. The Company would also review and refine the Code, as may be required periodically –based on its own experience and fresh guidelines, if any, to be issued by the Reserve Bank of India in this regard.

• Besides normal interest, ISFC may collect penal interest / late payment charges for any delay or default in making payments of any dues. These penal interest / late payment charges for different products or facilities would be decided by ISFC from time to time.
• No claims for refund or waiver of such charges/ penal interest / additional interest would normally be entertained by ISFC and it is the sole discretion of ISFC to deal with such requests if any.

• All processing / documentation and other charges recovered are expressly stated in the Loan documents. They vary based on the loan product, exposure limit, customer segment, geographical location and generally represent the cost incurred in rendering the services to the customers. The practices followed by other competitors in the market would also be taken into consideration while deciding the charges.

The interest rate models, benchmark prime lending rate (BPLR) and other charges applicable shall be reviewed by the board periodically.

1. INTRODUCTION

With the applicability of section 135 of Companies Act, 2013, the board has examined the applicability on the Company and has found that since the company falls under the criteria of applicability of section 135, it is hereby decided to form a CSR policy for spending 2% of average net profit of preceding three financial years on the activities as mentioned in Schedule VII of the Companies Act, 2013. We believe that Company’s CSR initiative would play a pivotal role in improving the lives of the communities and society at large. This would also enable us to fulfill our commitment to be socially responsible corporate citizen.




2. COMMITTEE COMPOSITION

The CSR Committee shall consist of the following directors:

a. Mr. Neeraj Sharma
b. Mr. Rakesh Rewari
c. Ms. Ragini Chaudhary
Members of the CSR Committee may be replaced by Board with any other member of the Board.




3. COMMITTEE MEETINGS

The CSR Committee shall meet as often as its members deem necessary to perform the duties and responsibilities.




4. DUTIES AND RESPONSIBILITIES OF CSR COMMITTEE

• (i) Formulate and recommend to the Board, a Corporate Social Responsibility Policy which shall indicate the activities to be undertaken by the company as specified in Schedule VII. Any amendments/ inclusions made to Schedule VII of the Companies Act, 2013 shall be taken into consideration.
• (ii) Recommend the CSR Expenditure to be incurred on the CSR activities/ programs.
• (iii) Institute a transparent mechanism for implementation of the CSR projects and activities. Effectively monitor the execution of the CSR activities.



5. RESPONSIBILITY OF THE BOARD

• (i) Approve the CSR Policy and the CSR Expenditure after taking into consideration the recommendations made by CSR Committee.
• (ii) Ensure the CSR spending every financial year of at least 2% of the average net profits made during immediately preceding 3 financial years, in pursuance with the Policy.
• (iii) Ensure that the CSR activities included in the CSR Policy are undertaken by Indian School Finance Company Private Limited and that such activities are related to the activities specified in Schedule VII of the Companies Act, 2013.
• (iv) Director’s Report for FY 2017-18 onwards to include: (a) Contents of the CSR Policy and Composition of the CSR committee; (b) A report on the CSR in the prescribed format as under Companies Act, 2013; (c) Reasons for failure (if any) to spend required amount on CSR activities.



6. CSR EXPENDITURE

• (i) In every financial year, ISFC shall spend a minimum of 2% of its average Net Profits in the immediately preceding three (3) financial years. Average Net Profits shall be calculated in accordance with the provisions of section 198 of Companies Act, 2013.
• (ii) CSR Expenditure shall mean all expenditure incurred in respect of specific projects/ programs relating to the approved CSR activities.
• (iii) CSR Expenditure shall not include expenditure on an item not in conformity or not in line with activities which fall within the purview of the CSR activities listed in Schedule VII.
• (iv) CSR Expenditure shall not include Projects or programs or activities undertaken outside India.
• (v) The surplus arising out of the CSR activities or projects shall not form part of the business profit of ISFC.
• (vi) Contributions by other ISFC affiliates or employees may also be received and utilized in respect of the CSR activities undertaken.



7. OUR RESPONSIBILITIES

• A) Towards our communities We will involve communities surrounding our operations to bring about a positive change in their lives through holistic, sustainable and integrated development.
• B) Towards our Customers We will build gainful partnerships with the customers to understand their needs and provide right product and service solutions. We will adopt and actively encourage the best and fair business practices and shall endeavor to build solid bonds with them.
• C) As a Corporate Citizen We reaffirm our commitment to conduct our business with environmental accountability. We will endeavor to adopt environment-friendly technologies and energy efficiency in our operations while continuously monitoring and reducing emissions.
• D) Responsibilities toward our Employees We will foster a work culture with high ethical principles and standards and encourage our employees to perform with total integrity, commitment and ownership. We will do all we can to support their professional growth and recognize high achievers. We will continue to raise the bar of our standards and guidelines. We recognize that our employees and contractors deserve to work in safe and healthy work environment and will make it our responsibility to ensure zero harm to people.



8. CSR mainstay

CSR activities at ISFC shall be carried out through Contribution / donation made to such other Organization / Institutions as may be permitted under the applicable laws from time to time or directly by the Company for fulfilling its responsibilities towards various stakeholders.