BRD SECURITIES LIMITED PRO NOTE LOAN CREDIT POLICY (Approved on 21.07.2018 Board Meeting)PRONOTE LOAN CREDIT POLICY Summary: The Pronote Loan Credit Policy covers the necessary guidelines to provide advances to borrowers /proposed borrowers under the provisions and guidelines of RBI. | It helps to build and sustain a qualitative growth of the asset portfolio. The focus of the Business Loan c1 policy is towards systematic standardization of the process of loan enquiry, sanctioning , payment and other procedures relate to the credit function. It also aims to identifying the risk and instituting suitable risk measures. BRD SECURITIES LTD provides loan against the Security of Properties and Bank FD receipts . For the processing of loan , Aadhar card and Photo is mandatory. After verification ,Credit Department Sanctions the loan and approval from Directors/ CEO is needed if there is any deviations . The Credit Policy shall be reviewed by the Board once in every Quarter and make amendments if considered necessary. Procedures. ‘The company provides three types of Pronote Loans. 1. Loan against Collateral Security of Property deed: We process the loans on the basis of application form submitted by the prospective ‘customer(which includes Name and address of the person , purpose of loan, Amount of Loan , copy of ID proofs , Security details, Present address, Income status) and considering the following factors too. 1. Loan amount normally calculated against below 60% of Property Value. 2. Maximum tenure: 36 Months. 3. ROI: @ 15% to 18% p.a (flat) in normal case 4. Age Limit: ‘* Minimum age 18 years and maximum 65 years for hirer and 70 years for Guarantor. Above 65 years (hirer) and above 70 years (guarantor) will be treated as deviation and this need approval from Credit Manager/CEO. ‘© If G1’s age is above 70 additional guarantor required. In this case Additional guarantor should be legal hirer of G1. 5. Documentation Charges: Maximum Rs.500/- for 100000/ amount (excluding GST).. 6. Valuation charge : Actual 7. Foreclosure charge : As applicable8. Guarantors : ‘© For applicants having immature age (18-27 years), G1 should be father/mother or spouse. For all other cases Guarantor can be any close relatives of applicant. In case the G1 or G2 are not applicant's close relative , approval from manager level required. 9. Land Tax Receipt (LTR) : LTR verification is necessary to the reduction of risk. If LTR marked as BT/VT we can directly accept it , other cases may be taken only after the close checking. So if LTR Without marking of BT/VT cases, need to collect the Deed number for the further checking. And credit team should check this number in to the Online Registration Site. And the details in Online Registration Site such may be kept as additional document with the loan paper for future use. ‘* LTR owner must be guarantor or hirer in all cases. Minimum Land Extension should be 02 cents. In case LTR owner is expired death certificate should be collected and spouse/legal heir of the diseased must be a guarantor. The extension property must be within a maximum of SO KMs from any BRD branch 10. applicant/Guarantor must be a permanent resident. If rental, the domicile should be of minimum 1 year, also the permanent address should be verified properly. 11. Distance from the branch to customer's residence should not exceed 50 KMs. Above 50 KM distance will be considered only from the approval of Credit Manager level 12, Required Documents: Loan Application Form ( it includes Proposal Number, Name , Address, Amount of loan request, Purpose of Loan, Details of security) Present Address Proof is compulsory Loans above Rs:100000/- Pan Card is mandatory KYC Requirements. a) Aadhar card (Mandatory ) b) Photos of hirer and guarantor(s) (1 copy each).(Mandatory) ¢)_ Voters ID (Optional additional Document) 4) Passport (Optional additional Document) e) additional documents (as required): Government ID, Profession ID, Driving license, SSLC book, Bank pass book copyPAN card, Ration card or any Government Issued document. LTR of current financial year.Original LTR to be verified and signed by : 1 - Sales Executive / Retainer. 2- Branch Mgr/Operation Mgr If Rental House: Rental Agreement prooving that the customer is residing at this address at least 1 year. 3 filled Cheque leaves in the name of customer/guarantor. (No Blank Cheques are accepted). 13. Deviation Approvals: (a) Distance :- 50 KM—75 KM: Credit Manager 75 KM — 100 KM: CEO/Directors ‘Above 100 KM ~ Investment Committee (ALCO) has the authority to approve the loan. (b) Amount :- Above 500000/- amount Investment Committee (ALCO) has the Authority to approve the loan. (b) Difference in LTR house name / owner name with ID proof : ‘* With One and Same Certificate: Approval at Credit Officer level. ‘* Without One and Same Certificate & With any document mentioned in 14(i) which supports the LTR address/name also can be approved at Credit Officer level. (c) Without LTR and with below mentioned document(s) - will be Credit Manager/CEO level approval:- * Possession Certificate. + Encumbrance Certificate * Certificate from village officer: May be considered only for loan approval. The latest LTR must be obtained later. This responsibility is vested with the branch manager. 14. All other deviations shall be treated as CM/CEO/Director level approval. All loans sanctioned after the close verification of credits team. ( LTR, Property Agreement, Property Valuation, Present Residential address ,Occupational Status , Repayable capacity of the Customer , Onsight verification of property and residence). Lien must be noted in the property before the Final Payment.Loan against Collateral Security of Bank FD /Other Financial Institutions FD Receipt , Debenture Certificate : We process the loans on the basis of application form submitted by the prospective customer(which includes Name and address of the person , purpose of loan, Amount of Loan , copy of ID proofs , Security details, Present address, Income status) and considering the following factors too. . Loan amount normally calculated against below 60% of Property Value . ROI: @ 15% to 18% p.a (flat) in normal case Age Minimum age 18 years and maximum 65 years for applicant and 70 years for Guarantor. Above 65 years (hirer) and above 70 years (guarantor) will be treated as deviation and this need approval from Credit Manager/CEO. If G1’s age is above 70 additional guarantor required. In this case Additional guarantor should be legal hirer of G1. . Documentation Charges: Maximum Rs.500/- for 100000/ amount (excluding GST). Valuation charge : Actual . Foreclosure charge : As applicable. . Guaranto ‘© For applicant having immature age (18-27 years), G1 should be father/mother or spouse. For all other cases Guarantor can be any close relatives of hirer. In case the G1 or G2 are not hirer’s close relative it shall be treated as Credit Manager/CEO level deviation. applicant/Guarantor must be a permanent resident. if rental, the domicile should be of minimum 1 year, also the permanent address should be verified properly. |. Distance from the branch to customer's residence should not exceed 50 KMs. Above 50 KM distance will be considered as Distance deviation at Credit Manager level. 10 : Loan Application Form ( it includes Proposal Number, Name , Address, Amount of loan request, Purpose of Loan, Details of security) Present Address Proof is compulsory Loans above Rs:100000/- Pan Card is mandatory KYC Requirements. f) Aadhar card (Mandatory } 8) Photos of hirer and guarantor(s) (1 copy each).(Mandatory)Voters ID (Optional additional Document) Passport (Optional additional Document) additional documents (as required): Government ID, Profession ID, Driving license, SSLC book, Bank pass book copyPAN card, Ration card or any Government Issued document. Bank FD /Other Financial Institutions FD Receipt , Debenture Certificate if any LTR of current financial year. Original LTR to be verified and signed by : 1 - Sales Executive / Retainer. 2- Branch Mgr/Operation Mgr If Rental House: Rental Agreement prooving that the customer is residing at this address at least 1 year. 3 filled Cheque leaves in the name of customer/guarantor. (No Blank Cheques are accepted). 11 Deviation Approvals: a. Distance :- 51 KM~ 75 KM: Credit Manager 75 KM — 100 Kt £O/Directors ‘Above 100 KM ~ investment Committee (ALCO) has the authority to approve the loan. b. Amount :- ‘Above 500000/- amount investment Committee (ALCO) has the Authority to approve the loan. 12 All other deviations shall be treated as CM/CEO/Director level approval. All loans sanctioned after the close verification of credits team. ( LTR, Security Document, Present Residential address ,Occupational Status , Repayable capacity of the Customer , Onsight verification of property and residence). Lien must be noted in the Security Document before the Final Payment. Pro Note Loan without any collateral security. For the Loan processing we ensured the following facts and submitted the application form (Application Form Includes:- Name and address of the person , purpose of loan, ‘Amount required , ID submission , Present address, Income status). 1 Loan amount normally calculated against below 60% of Property Value 2 RO: 15% to 18% p.a (flat) in normal case 3. Age Limit:© Minimum age 18 years and maximum 65 years for applicant and 70 years for Guarantor. Above 65 years (hirer) and above 70 years (guarantor) will be treated as deviation and this need approval from Credit Manager/CEO. © If G1’s age is above 70 additional guarantor required. In this case Additional guarantor should be legal hirer of G1. Documentation Charges: Maximum Rs.500/- for 100000/-(excluding GST). Valuation charge : Actual Foreclosure charge : As applicable. Valuation charge : Actual Guarantors : ‘© For hirer having immature age (18-27 years), G1 should be father/mother or spouse. For all other cases Guarantor can be any close relatives of hirer. In case the G1 or G2 are not hirer’s close relative it shall be treated as Credit Manager/CEO level deviation. 10. Hirer/Guarantor must be a permanent resident. If rental, the domicile should be of minimum 1 year, also the permanent address should be verified properly. 11 Distance from the branch to customer's residence should not exceed SO KMs. ‘Above 50 KM distance will be considered as Distance deviation at Credit Manager level. 10 Required Documents: Loan Application Form ( it includes Proposal Number, Name , Address, Amount of loan request, Purpose of Loan) Present Address Proof is compulsory Loans above Rs:100000/- Pan Card is mandatory KYC Requirements. k) Aadhar card (Mandatory ) 1) Photos of hirer and guarantor(s) (1 copy each).(Mandatory) ‘m) Voters ID (Optional additional Document) n) Passport (Optional additional Document) 0) additional documents (as required): Government ID, Profession ID, Driving license, SSLC book, Bank pass book copyPAN card, Ration card or any Government Issued document. Bank FD /Other Financial institutions FD Receipt , Debenture Certificate if any LTR of current financial year. Original LTR to be verified and signed by : 1 - Sales Executive / Retainer. 2- Branch Mgr/Operation Mer If Rental House: Rental Agreement prooving that the customer is residing at this address at least 1 year.© 3 filled Cheque leaves in the name of customer/guarantor. (No Blank Cheques are accepted). 11. Deviation Approvals: (a )Distance :- 13KM ~ 75 KM: Credit Manager 75 KM — 100 KM: CEO/Directors ‘Above 100 KM — Investment Committee (ALCO) has the authority to approve the loan. (b) Amount :- ‘Above 200000/- amount Investment Committee(ALCO) has the Authority level to approve the loan. 10. All other deviations shall be treated as CM/CEO/Director level approval. All loans sanctioned after the close verification of credits team. ( Present Residential address , Occupational Status , Repayable capacity of the Customer , Onsight verification of property and residence).