Fair Practice Code

1. Introduction

Yuvaraj Finance Private Limited (“us”, “we”, or “Yuvaraj”) is a registered NBFC (Non-banking Financial Company) and the owner of the internet resource yuvalms.in as well as the personal loan application by the name Yuva, through which it offers financial products and services (“Platform”).

We are committed to adhering to the highest standards of fairness and transparency in all its operations. This Fair Practice Code outlines the guidelines and practices that we follow to ensure fair treatment of its customers, in compliance with the directives issued by the Reserve Bank of India (RBI).

2. Objective

The primary objective of this Fair Practice Code is to ensure that our customers are treated fairly and that our services are delivered in a transparent, ethical, and professional manner.

3. Applications for Loans, their Processing, and Loan Appraisal

All communications to the customer will be made in English or other vernacular language as preferred by the customer.

The loan application forms include necessary information which affects the interest of the customer, enabling them to make a meaningful comparison with the terms and conditions offered by other lenders and take an informed decision.

The loan application form will clearly indicate the documents required to be submitted with the application form.

The sanction letter will be accompanied by a standardized Key Fact Statement (KFS), providing information about the Annual Percentage Rate (APR), recovery mechanism, details of grievance redressal, and the various applicable charges and fees in respect of the proposed loan.

Yuvaraj, before sanctioning the loan, would assess the ability of the customer to repay the loan.

An acknowledgment will be issued to the customer for each application after, subject to receipt of the complete information as per the standard application format. Additional information and support documents may occasionally be necessary during the processing of a customer’s application.

Applications complete in all respects will be processed within a reasonable time frame. In case the application is not approved, the customer will be intimated accordingly.

Loan applications will be assessed based on the Yuvaraj’s credit appraisal process, and relevant documentation will be obtained.

Customers will be informed about the annualized rate of interest and other terms and conditions, and acceptance of these terms will be kept on record.

The Key Fact Statement (KFS)/Sanction Letter will include the amount of loan sanctioned along with other terms and conditions.

4. Disbursement of Loans including Changes in Terms and Conditions

Disbursement of loans will be made in accordance with the terms and conditions of the KFS/sanction letter.

Any change in terms and conditions, including interest rates, service charges, etc., will be communicated to the customer in advance. Changes will be effective only prospectively.

5. Interest Rates and Penal Charges

We will ensure that the interest rates and penal charges are in compliance with regulatory directives and are disclosed transparently to the customers. Interest rates will be disclosed as annualized to ensure that the customer is aware of the exact rates applicable.

Please refer to our Interest Rate Policy to get more information.

6. Fair and Ethical Practices

We will act fairly and reasonably in all our dealings with our customers by ensuring that our staff is adequately trained to deal with the customers in an appropriate manner.

We will not discriminate based on age, race, caste, gender, marital status, religion, or disability.

7. Collection Practices

We are committed to following ethical and lawful collection practices to ensure fair treatment of our customers. Our collection policies are based on the following principles:

All our agents will treat customers with respect and dignity during the collection process.
We will provide clear and complete information about the amount due, repayment schedule, and any penalties for late payments.
We will comply with all applicable laws and regulations regarding debt collection.
All communications regarding collections will be made in a professional manner. We will avoid excessive or unreasonable pressure, harassment, or intimidation.
We have a proper mechanism to address and resolve any disputes or complaints related to the collection process.
We will ensure the confidentiality of the customer’s personal and financial information during the collection process.
We will ensure that all our collection agents and employees are adequately trained to handle collections in a fair and respectful manner

8. Confidentiality

We treat all personal information of our customers as private and confidential.

We do not disclose any information relating to customers’ accounts to any third party, except under circumstances which are permitted under the RBI guidelines or by law, and disclosed in Terms & Conditions and/or loan documents.

9. Complaints and Grievances

We have a proper system and procedure for receiving, registering, and resolving customer complaints and grievances.

Customers can register their complaints via phone, email, or in writing, and we will ensure that the grievances are addressed promptly and satisfactorily. Please refer to our Grievance Redressal Policy for more information.

10. General

We will not interfere in the affairs of the customer except for the purposes provided in the terms and conditions of the loan agreement.

11. Electronic Document

This Fair Practice Code is an electronic document created in accordance with the Information Technology Act, 2000, and the amendments thereto. It does not require any physical signatures and is legally binding as an electronic record maintained by us.

12. Review and Monitoring

This Fair Practice Code will be reviewed periodically to ensure its relevance and effectiveness. Yuvaraj’s Board of Directors or a committee thereof will review the implementation and compliance with the Fair Practice Code on a regular basis.

We may update this Fair Practice Code from time to time. Thus, you are advised to review this page periodically for any changes. We will notify you of any changes by posting the new Fair Practice Code on this page. Such changes are effective immediately after they are posted on this page.