| Charge | Freo – KM / PCL personal loans | Freo – short-term loans (up to 35 days) | NIRA – personal loans | Business loans |
|---|---|---|---|---|
| Rate of interest | 24% – 36% p.a. | Nil (fee-based) | 24% – 36% p.a. | 33% – 38% p.a. |
| Processing / convenience fee | Up to 8% + GST | Up to 8% + GST | Up to 8% + GST | Up to 4% + GST |
| Loan set-up fee | ₹100 + GST | Nil | Nil | Nil |
| Penal charges (delayed payment) | 36% p.a. on the overdue amount, for the days of default | 36% p.a. on the overdue amount, for the days of default | Flat ₹500 per instance of default | Nil |
| Bounce / NACH dishonour | ₹500 + GST per instance | ₹500 + GST per instance | Nil | Nil |
| Foreclosure / prepayment | Up to 5% of principal outstanding + GST | Nil | 4% + GST; nil within 7 days of disbursement | As per sanction letter |
| Exit during cooling-off period | Principal + proportionate APR; no penalty | Principal + proportionate APR; no penalty | Principal + proportionate APR; no penalty | Not applicable |
| Modification of loan terms | Nil | Nil | Nil | Nil |
| Statement of account / NOC | Nil | Nil | Nil | Nil |
| Legal / recovery charges | At actuals, only after default | At actuals, only after default | At actuals, only after default | At actuals, only after default |
Penal charges — quantum and reasons
Penal charges are levied only if an instalment is not paid on the due date. They compensate Komac for the cost of delayed payment and follow-up, and are intended to encourage timely repayment. They are not a source of revenue.
Penal charges are levied only on the amount in default, for the period of default. They are not added to the rate of interest, are not capitalised, and no interest or further penal charge is charged on them. Each time penal charges are levied, you will be informed of the amount and the reason.
Any change in charges applies only prospectively, after prior notice to borrowers.
The full Key Fact Statement specimens and Schedule of Charges are also available as a PDF: Key Fact Statement (specimens for Freo and NIRA loans) and Schedule of Charges. Our approach to pricing is set out in the Interest Rate Policy.