Loan Application Terms & Conditions

Loan Application Terms and Conditions

1. Applicability

These Loan Application Terms and Conditions ("Application Terms") apply to every application for a loan submitted to Girdhar Finlease Private Limited ("GFPL", "Lender", "we") – whether at a branch, on www.girdharfinlease.com, or through our Lending Service Providers/Digital Lending Apps, 30DaysLoan and FundsMama ("LSPs"/"DLAs") – for any of the following products: (i) Short-Term Personal Loan (including the 30-day loan), and (ii) EMI-based Unsecured Personal Loan.

By submitting an application you (the "Applicant", and upon sanction, the "Borrower", including co-applicants/co-borrowers/guarantors as the context requires) accept these Application Terms, the General Terms and Conditions, and the Privacy Policy. Upon sanction, the Key Fact Statement (KFS), sanction letter and loan agreement executed by you shall govern the loan; in case of conflict, those documents prevail over these Application Terms.

2. Application Process and Applicant Undertakings

You must complete the application form and provide the information and documents requested, including KYC documents, income/banking information and (for secured products) collateral/property documents. All information must be true, complete and not misleading; GFPL relies on it in assessing the application.
You authorise GFPL and its authorised service providers/LSPs to: (a) verify your identity through Aadhaar offline verification/Digilocker, PAN validation, Video-KYC and CKYC; (b) verify your bank account through penny-drop/penny-less methods; (c) obtain your Credit Information Report from one or more Credit Information Companies (CRIF High Mark, TransUnion CIBIL, Experian, Equifax) – you understand a bureau enquiry may impact your credit score; (d) retrieve your financial information through the RBI Account Aggregator framework strictly pursuant to consent you give via your Account Aggregator; and (e) analyse your bank statements (including through automated tools) to assess income and obligations.
GFPL will assess your creditworthiness – capturing, at minimum, your age, occupation and income – before sanction, in accordance with the RBI (Digital Lending) Directions, 2025 and our board-approved credit policy. Records of the assessment are maintained for audit.
Submission of an application, payment of any verification/processing amount (if applicable and disclosed), or an indicative eligibility result does not oblige GFPL to sanction a loan. GFPL may reject an application without assigning detailed reasons, subject to the Fair Practices Code; the fact of rejection and the primary reason, where feasible, will be communicated. Rejection at one time does not bar a future application.
You must promptly inform GFPL of any material change in the information provided (e.g., employment, address, contact details) before disbursement and during the loan tenure.

3. Key Fact Statement, Sanction and Documentation

Before you execute the loan contract, GFPL will provide a Key Fact Statement in the standardised RBI format containing the sanctioned amount, tenure, the all-inclusive Annual Percentage Rate (APR), repayment schedule, all fees and charges (processing, insurance where opted, penal charges, foreclosure terms), the cooling-off period, grievance redressal contacts (including the Nodal Grievance Redressal Officer for digital lending), and recovery-agent related details. No fee or charge not disclosed in the KFS will be charged to you at any stage without your explicit consent.
Loan documents may be executed physically or electronically, including through Aadhaar e-Sign or other legally valid electronic signatures under the Information Technology Act, 2000. Electronic execution has the same legal effect as wet-ink signature.
Immediately upon execution, digitally signed copies of the KFS, loan agreement/summary, sanction letter, privacy policies of GFPL/LSP, and other enclosures will be sent automatically to your registered email/SMS.
For digital loans, the sanctioned amount will be disbursed directly into your verified bank account – never into any account of an LSP or third party (save for statutorily permitted exceptions such as disbursal to an identified end-beneficiary for specified end-use).

4. Cooling-Off / Look-Up Period

For loans availed through digital channels, you may exit the loan during the cooling-off period stated in the KFS – which shall not be less than one (1) day for loans with tenure below seven (7) days and three (3) days for loans with tenure of seven (7) days or more – by repaying the principal together with the proportionate APR for the days elapsed, without any penalty or pre-payment charge. Only such processing/verification costs as are expressly permitted by RBI and disclosed in the KFS (if any) may be retained. After the cooling-off period, pre-payment is governed by Section 8.

5. Interest, Fees and Charges

Interest is charged at the rate and rest specified in the KFS/sanction letter, computed from the date of disbursement. GFPL's interest-rate model, gradation of risk and the range of rates for each product are published on the website in line with the RBI Fair Practices Code; rates are not unreasonably compared to peer benchmarks and are subject to review by our Board.
For floating-rate loans, the rate is linked to the reference/benchmark rate disclosed in the loan documents. On a reset, you will be given the option – as per the RBI circular on floating-rate EMI loans – to (a) increase the EMI, (b) extend the tenure, (c) a combination of both, or (d) switch to a fixed rate on published terms, and to prepay without penalty as per Section 8. Any applicable switch charges are disclosed transparently.
Penal charges for non-compliance of material terms (e.g., missed instalments) are levied as a reasonable, non-discriminatory charge on the overdue amount only – not as penal interest, not capitalised, and not compounded – in accordance with the RBI circular on Fair Lending Practice – Penal Charges in Loan Accounts. The quantum and conditions are stated in the KFS/loan agreement and on our website.
Statutory levies (GST, stamp duty) are payable as per law. Bounce/mandate-failure charges, if any, are as per the KFS.

6. Disbursement Conditions

Disbursement is subject to: completion of KYC and verifications; execution of loan documents and (where applicable) security creation/collateral pledge; satisfaction of sanction conditions; and no event of default or material adverse change.

7. Repayment

You shall repay the loan (principal, interest and charges) as per the repayment schedule in the KFS – by e-NACH/UPI mandate, standing instruction, or such other modes as GFPL permits. All repayments must be made directly to GFPL's designated account; no LSP or agent is authorised to collect repayments into their own account (cash collected on delinquent accounts, where unavoidable, is receipted and deposited the same day).
You authorise registration of an electronic mandate (e-NACH/UPI Autopay) for scheduled debits; you must maintain sufficient balance on due dates. Mandate registration/execution follows NPCI rules; mandate failure does not excuse payment.
Payments are appropriated in the order stated in the loan agreement (typically: costs/charges, penal charges, interest, principal), unless law requires otherwise.
Make payments only through official channels listed on the Platforms (including the Pay Now page). GFPL is not responsible for payments made to unauthorised persons or accounts.

8. Pre-payment and Foreclosure

You may prepay in part or full as per the loan agreement. In line with the RBI (Pre-payment Charges on Loans) Directions, 2025: no pre-payment/foreclosure charges are levied on floating-rate loans to individual borrowers for purposes other than business (with/without co-obligants), irrespective of the source of funds; concessions applicable to micro and small enterprises are also honoured as per the said Directions. For other loans, pre-payment charges, if any, are only as disclosed in the KFS and are not levied where prohibited by regulation. On foreclosure, a no-dues/closure confirmation is issued and CIC records are updated within the prescribed time.

9. Events of Default and Consequences

Events of default include: non-payment of any amount when due; breach of the loan agreement; information or documents found false or misleading; insolvency proceedings; death of sole borrower without arrangement acceptable to GFPL (subject to law and insurance, if any); the collateral/property being encumbered, alienated or materially impaired without consent; and unlawful end-use of funds. On default, and after notices as per the agreement and the Fair Practices Code, GFPL may: recall the loan; levy penal charges (Section 5); report the default to CICs (which affects your credit score); enforce security as per the loan agreement; set off amounts as agreed; and initiate legal proceedings, including under the Negotiable Instruments Act, 1881, the Insolvency and Bankruptcy Code, 2016, arbitration where agreed, and – where applicable to secured assets – the SARFAESI Act, 2002. Borrower classification as wilful defaulter/fraud, if any, follows RBI directions including an opportunity of being heard.

10. Collections and Recovery Conduct

Recovery is conducted per our board-approved policy and the RBI Fair Practices Code: no intimidation, harassment, humiliation, violence, or interference with your privacy; no persistent calling; no calls before 8:00 a.m. or after 7:00 p.m.; and no contacting your contacts/social circle about the debt except lawful communication with co-borrowers/guarantors/nominees.
Details of the recovery agent/agency authorised to contact you will be communicated to you (through the DLA/SMS/email) before or at the time of first contact, along with identification when they meet you.
You will be given adequate notice before enforcement action, and all enforcement follows due process of law.
Complaints about recovery conduct may be raised with the Grievance Redressal Officer (details in the KFS and website); serious misconduct by agents leads to action under our outsourcing policy.

11. Credit Information Reporting

As mandated by the Credit Information Companies (Regulation) Act, 2005, your loan and repayment conduct is reported periodically to CICs. Corrections to bureau records, where errors are attributable to GFPL, are made within statutory timelines; compensation for delayed correction is paid where prescribed by RBI. Closure/settlement status is updated within the prescribed period after the event.

12. Product Schedule A – Short-Term (30-Day) and EMI Unsecured Personal Loans

Loan amounts, tenure (e.g., up to 30 days for the short-term product; multi-month EMI for personal loans), APR and charges are as per the KFS. Short tenures can translate into a high APR even for modest absolute fees – the KFS discloses the APR so you can compare products; borrow only what you can repay on time.
The loan is unsecured; no collateral or post-dated instruments are required other than the repayment mandate.
Renewal/rollover, if offered, is a fresh credit decision requiring your explicit request, fresh KFS and assessment; automatic rollovers are not undertaken.
End-use must be lawful personal use; funds must not be used for speculative purposes, capital-market subscription where prohibited, or purchase of gold in any form where restricted by RBI.

13. Data, Privacy and Digital Lending Protections

Our DLAs/LSPs do not access your phone contacts, call logs or media; camera/microphone/location access is one-time and only for KYC, with your consent.
Data collected in the digital lending journey is stored on servers located in India.
A link to this document, the KFS format, our LSP list, DLA details, grievance contacts and the RBI CMS/Sachet portals is maintained in a dedicated section of our website, as required by the Digital Lending Directions.

14. Assignment, Co-lending and Outsourcing

GFPL may assign/securitise the loan or enter co-lending arrangements in accordance with RBI directions; your loan terms will not become less favourable by reason of such transfer, and you will be notified where required. GFPL remains responsible for the conduct of its outsourced service providers and LSPs towards you.

15. Representations; Miscellaneous

You represent that you are not a politically exposed person/sanctioned person except as disclosed, that the funds for repayment will be from legitimate sources, and that entering the loan does not breach any law or contract binding on you.
Notices to you are validly given at your registered address/email/mobile. Notices to GFPL must be sent to the Corporate Office or designated email in the KFS.
These Application Terms are governed by Indian law; jurisdiction and dispute-resolution are as per the General Terms and the loan agreement. The RBI Ombudsman and consumer-forum remedies remain available to you notwithstanding anything herein.
If any provision is invalid, the remainder survives. GFPL may update these Application Terms prospectively; the version accepted by you at application, together with your executed loan documents, governs your loan.