Interest Rate Policy
Last updated: 01 April 2022 · Ardour Analytics Private Limited
Interest Rate Model
Interest rates are offered on a reducing rate basis, charged on a per-day basis on the outstanding principal.
| Lending Assets / Sector | Annualized Interest Range |
|---|---|
| Borrower | 14% – 30% |
Key Principles
Daily Interest Calculation
Interest is charged on a per-day basis on the Outstanding Principal as on date. Default interest is levied once the due date has been crossed.
Rate Determination Factors
Interest rates are determined based on cost of borrowing, operating costs, liquidity, interest rate trends, return on equity thresholds, nature and duration of loan, credit worthiness/evaluation, and risk perception.
Communication of Changes
Any change in interest rates will be communicated to the Borrower in a manner deemed fit as per the terms of the loan documents. All revisions take prospective effect only.
Staggered Disbursements
In case of staggered disbursements, the rates of interest are subject to review and may vary according to the prevailing rate at the time of each successive disbursement.
Loan Communication
Loan amount, annualized rate of interest, tenure and installment apportionment will be communicated to the Borrower in the Key Fact Statement and the Facility Agreement.
Additional Charges
Besides normal interest, additional interest may be levied for adhoc facilities. Penal interest / default interest applies for any delay or default in payment. Details are mentioned in the Key Fact Statement and Facility Agreement.
Other financial charges such as processing charges, cheque bouncing charges, pre-payment charges, RTGS/remittance charges, commitment fees, no-due certificate charges, no objection certificate charges, security swap charges, etc. may be levied where considered necessary.
Currently, none of the above charges are being levied. Any future changes will be communicated to the Borrower in advance.
Goods and Services Tax (GST) and other applicable taxes, levies or cess will be collected at applicable rates from time to time.
Refunds & Waivers
Refund claims will be entertained as per the Cancellation and Refund Policy.
Waiver of charges, default interest, or additional interest would normally not be entertained.