Example for SMA and NPA in accordance with RBI 

Method of calculation of Special Mention Account (SMA) and Non-Performing Asset (NPA) account, in case of default by any customer, shall be as follows: 

Few important definitions and concepts: 

IBL Finance Limited (hereinafter referred as “IBLFL) shall classify any account as SMA or NPA after running day-end process.

Day-end process: At the end of every calendar day, IBLFL shall run a process to determine whether an account will be treated as overdue or not. In case of NACH/ e-NACH/UPI mandates/ standing instructions, if by the time the day-end process is run, the dues from the customer are not received into the bank account of IBLFL, the amount would be considered as not received and therefore will be treated as overdue. In case of collection by cash, the date of issuance of money receipt by IBLFL shall be treated as the date when the amount has been duly received by IBLFL. In case of collection by cheques, the value date shall be considered as the date when the amount has been received by IBLFL, unless the cheque is subsequently returned as dishonored by IBLFL’s bank, in which case the instalment/ EMI amount shall be considered as overdue at the end of day on the value date, i.e. the due date of such payment. 

Special Mention Account (SMA): RBI guidelines require a lender like IBLFL to immediately recognize incipient stress in borrower account by classifying them as SMA. RBI prescribes three levels for SMA recognition, viz., SMA-0, SMA-1 and SMA-2. For definition of SMA and grading mechanism, you may refer RBI/DOR/2025-26/356, DOR.STR.REC.No. 275/21.04.048/2025-26 November 28, 2025 Reserve Bank of India (Non-Banking Financial Companies – Income Recognition, Asset Classification and Provisioning) Directions, 2025 

Illustration: 

In case the due date for an account is 5th calendar day of every month (say, 5th January 2026); the SMA and NPA classification in such cases shall be as follows: 

If the EMI/ entire dues of a particular account are not received into the bank account of IBLFL before the day-end process is run on the 5th calendar day, i.e. the due date, the account shall be treated as overdue after day-end process. Accordingly, this account shall be classified as SMA-0. If this account remains continuously overdue even after the completion of day-end process on 30th day from the initial due date, after its classification as SMA-0, the account shall be classified as SMA-1, immediately after running of day-end process, if the full dues are not received before day-end process is run on the 30th day. 

If the account continues to remain overdue for 60 days, it shall be classified as SMA-2 upon running day-end process on the 60th day from the initial due date. If the account remains continuously overdue for 90 days, it shall get classified as NPA upon running day-end process on the 90th day from the initial due date. Once an account is classified as NPA, it may be upgraded as ‘standard’ only after the entire arrears/ overdue of interest and principal are paid fully.  

The above illustration has been further explained in the table below: 

1. Purpose 

 The Reserve Bank of India (‘RBI’), vide its Master Direction- Non-Banking Financial Company- Non-Systemically Important Non-Deposit taking Company (Reserve Bank) Directions, 2016, (‘NBFC Master Directions’), mandates all NBFCs to ensure that a suitable mechanism exists for receiving and addressing complaints from its customers and resolving such complaints in a fair and expeditious manner. 

Accordingly, IBL Finance Limited (‘IBL Finance/Company’) has adopted and put in place the following ‘Policy’ parallel to the Company’s Fair Practice Code (‘FPC’), in accordance with the NBFC Master Directions, as amended from time to time. 

 2. Objectives 

 This Policy has been formulated to develop a robust framework for addressing and resolving the complaints and grievances raised by the customers. It shall be ensured by the Company that: 

• Customers are treated fairly and impartially at all times;  

• Complaints raised by customers are dealt with courtesy and in a timely manner;  

• Customers are informed of the mechanism to escalate their complaints within the organization, and their rights if they are not satisfied with the resolution of their complaints by the Company;  

• Officials of the Company strive towards working in good faith and without prejudice towards the interests of the customers.

 3. Grievance Redressal Officer and Principal Nodal Officer  

1.  The Board shall nominate an employee/officer of the Company as the Grievance Redressal Officer (‘GRO’)  who shall be entrusted with the duty of addressing and resolving the grievances raised by the customers, including complaints and issues relating to digital lending.
2. The GRO will be available during office hours to receive the grievances of all customers. In the event the GRO is not available, the immediate senior officer in the Company shall attend to the customer.
3. The Board shall also appoint a Principal Nodal Officer at their head office who shall not be a rank less than a General Manager or an officer of equivalent rank and shall be responsible for representing the Company and furnishing information on behalf of the Company in respect of complaints filed against the company. 

 4. Grievance Redressal Mechanism 

4.1. Lodging of compliant 

• The Company shall ensure that all locations, where the Company is having its operations as well as through its application/ website, have a dedicated set-up to address customer grievances/ complaints to ensure prompt grievance redressal. 

• All grievances made by the borrowers will be electronically recorded and maintained by the Company at its principal place of business and  in each of its offices/branches(if any).  

• The Company shall ensure that the customers quote their application number/sanction number/loan account number in all their correspondence with the Company. Anonymous complaints shall not be addressed under this mechanism.
• The Company shall endeavour to provide an acknowledgement to complaints received from its customers.

4.2. Resolution process and time frame 

• If the customer has any grievance in respect of the services provided by the Company, the customer shall contact the Company’s Customer Service Department (‘CSD’) through any of the following channels: 

• If the customers are not satisfied with the resolution received from the above channel or if the customers do not hear from us in 15 (fifteen) days, the customer may escalate the complaint to the GRO through email or contact on the contact number below. The customer may also approach the registered or branch office of the Company, in-person, to lodge a complaint. 

 Details of the GRO are as follows:  

Grievance Redressal Officer  

Name:  Mr. Lathiya Ayush Pareshbhai 

Email ID- gro@iblfinance.in

Address: Office No. 2002 The Junomoneta Tower No 133, Sub Plot No 1 B, Adajan Dn, Surat, Surat City, Gujarat, India, 395009 

Tel: +91 63525 71130 

• The Company shall endeavour to resolve the complaints and grievances of customers within reasonable time. The customer shall be kept informed about the status of their complaints.  

• Certain types of cases might need additional time due to the nature of the activities involved; for e.g. retrieval of documents. The Company shall inform the customers of such delay and provide expected timelines for resolution of the complaint. 

4.3. Complaint under the RBI Integrated Ombudsman Scheme, 2021 

 If the written complaint is not resolved to the satisfaction of the customers or not replied within a period of 30 days of lodging of the complaint, or if the customer is not satisfied with the response of the Company, the customer may lodge their complaint under the RBI Integrated Ombudsman Scheme, 2021, cost-free redress of customer complaints involving deficiency in services rendered by company regulated by RBI. 

4.3.1. Some of the salient features of the Scheme are: 

• It will no longer be necessary for a complainant to identify under which scheme he/she should file complaint with the Ombudsman. 
• The Scheme defines ‘deficiency in service’ as the ground for filing a complaint, with a specified list of exclusions. Therefore, the complaints would no longer be rejected simply on account of “not covered under the grounds listed in the scheme”. 
• The Scheme has done away with the jurisdiction of each ombudsman office. 
• A Centralised Receipt and Processing Centre has been set up at RBI, Chandigarh for receipt and initial processing of physical and email complaints in any language. 
• The responsibility of representing the Regulated Entity and furnishing information in respect of complaints filed by customers against the Regulated Entity would be that of the Principal Nodal Officer in the rank of a General Manager in a Public Sector Bank or equivalent. 
• The Regulated Entity will not have the right to appeal in cases where an Award is issued by the ombudsman against it for not furnishing satisfactory and timely information/documents.  
• The Executive Director-in charge of the Department of RBI’s administering the scheme would be the Appellate Authority. 

4.3.2. Grounds of Complaint: 

Any customer aggrieved by an act or omission of the company resulting in deficiency in services may file a complaint under the Scheme personally or through an authorised representative. 

4.3.3. Grounds for non-maintainability of a Complaint  

• No complaint for deficiency in service shall lie under the Scheme in matters involving – Commercial judgment/commercial decision of a company;  

• a dispute between a vendor and a Regulated Entity relating to an outsourcing contract;  

• a grievance not addressed to the Ombudsman directly;  

• general grievances against Management or Executives of a company;  

• a dispute in which action is initiated by a company in compliance with the orders of a statutory or law enforcing authority;  

• a service not within the regulatory purview of the Reserve Bank;  

• a dispute between Regulated Entities; and  

• a dispute involving the employee-employer relationship of a company.  

4.3.4. Customer filing a complaint with Ombudsman:  

• Complaints can continue to be filed online on https://cms.rbi.org.in. or  

•  Complaints can also be filed through the dedicated e-mail crpc@rbi.org.in or  

• Sent in physical mode to the ‘Centralised Receipt and Processing Centre’ set up at Reserve Bank of India, 4th Floor, Sector 17, Chandigarh – 160017 in the prescribed format as per Annexure A subject to amended from time to time by RBI.  

• Additionally, a Contact Centre with a toll-free number – 14448 (9:30 am to 5:15 pm) – is also being operationalised in Hindi, English and in eight regional languages to begin with and will be expanded to cover other Indian languages in due course.  

• The Contact Centre will provide information/clarifications regarding the alternate grievance redress mechanism of RBI and to guide complainants in filing of a complaint. 

4.3.5. Customer may file appeal, if not satisfied with decision of Ombudsman: 

• Ombudsman’s decision is appealable; 

• If customer is not satisfied with the decision of Ombudsman, he may prefer an appeal with the Appellate Authority within 30 days of the date of receipt of the Order or rejection of the complaint. 

• Regulated entity (RE) will not have any right to appeal in cases where an Order is issued by the ombudsman against it for not furnishing satisfactory of documents and timely information. 

• RE may go in for appeal within 30 days from the date of receipt of the letter of Order after approval of Board / Chairman / MD / CEO;  
• The powers of Appellate Authority are vested with the Executive Director-in-charge of Department of RBI implementing the Scheme. The address of the Appellate Authority is: 

The Appellate Authority 
Reserve Bank – Integrated Ombudsman Scheme, 2021 
Consumer Education and Protection Department 
Reserve Bank of India 
First Floor, Amar Building, Fort, Mumbai 400 001. 

Note: You may also refer to https://iblfinance.in/ for further details of the Scheme and email address of the Nodal Officer of the Company who can be approached by the customer. You are also further advised to keep a copy of the RBI circular No. CEPD. PRD. No.S873/13.01.001/2021-22 dated November 12, 2021 for ready reference in case of need for providing guidance to customer. 

4.3.6. Details of the Nodal Officer is as follows:  

Nodal Officer  

Name:  Mr. Lathiya Ayush Pareshbhai 

Email ID- gro@iblfinance.in

Address: Office No. 2002 The Junomoneta Tower No 133, Sub Plot No 1 B, Adajan Dn, Surat, Surat City, Gujarat, India, 395009 

Tel: +91 63525 71130 

4.3.7. Alternatively, the customer may also approach the Officer-in-Charge of the Regional Office of Department of Supervision of RBI: 

The General Manager,  

Department of Non-Banking Supervision, Reserve Bank of India, 

4th Floor, “Riverfront House” 

Behind H. K. Arts College. 

Between Gandhi & Nehru Bridge, 

Pujya Pramukh Swami Marg(Riverfront Road – West), 

Ahmedabad – 380009 

E mail ID : – dosahmedabad@rbi.org.in 

Tel: 079-2754 3057/ 5651 

E-mail: dnbsahmedabad@rbi.org.in 

5. In case of outsourcing 

• The provisions of this Policy shall also extend to deal with the issue relating to services provided by the outsourced agency, in case the Company has outsourced any of its functions.  

• The GRM, in no way, shall be compromised on account of outsourcing. 

6. Additional requirements in case of digital lending 

• In case of digital lending, as defined under the RBI Guidelines on Digital Lending, the Company shall ensure that the GRM and the Lending Service Providers (‘LSPs’)1 engaged by them shall have a suitable Grievance Redressal Officer to deal with FinTech/ digital lending related complaints/ issues raised by the customers. In this case, the GRO of the Company shall also handle all such issues related with digital lending.   

• Contact details of Company’s GRO shall be prominently displayed on Company’s  website, as well as on the websites of the LSPs and on the Digital Lending Application (‘DLA’)2 and also in the Key Fact Statement3 provided to the customer. Further, the facility of lodging complaints shall also be made available on the DLA and on the website as stated above.  

• If any complaint lodged by the customer against the Company or the LSP engaged by the Company is not resolved by the Company within one month, he/she can lodge a complaint with the above RBI officers in the same manner as provided in this Policy. In any case, the responsibility of grievance redressal shall continue to remain with the Company. 

7. Display of details of redressal mechanism  

• The Company shall prominently display, on its website/app, details in respect of Grievance Redressal Mechanism, i.e., name and contact details, telephone no., email address of the Customer Service Department and the GRO. 

• In addition to the display on the website, the above-mentioned information shall also be displayed in the offices of Company where business is transacted. In this case, the Company may display the information in English as well as a vernacular/regional language.  

8. Miscellaneous 

• The Company follows a strict no-discrimination policy and does not does not discriminate against persons with any disability. In furtherance of the ethos and values of the Company, the Company shall ensure the redressal of grievances of persons with disabilities under the GRM. 

• It shall create awareness about the GRM and educate its customers about it.   

9. Review  

The Board shall conduct quarterly review of the functioning of the GRM at various levels of management. This Policy shall be reviewed at such periodicity as decided by the Board, subject to at least one review annually. 

FORM OF COMPLAINT (TO BE LODGED) WITH THE OMBUDSMAN  
[Clause 11(2) of the Scheme]  
(TO BE FILLED UP BY THE COMPLAINANT) 

All the fields are mandatory except wherever indicated otherwise  

To 

The Ombudsman 

Madam/Sir, 

Sub: Complaint against  (place of Regulated Entity’s branch or 

office) of ………………………………………………………… (name of the Regulated Entity) 

Details of the complaint: 

Name of the complainant   

1. Age (years) …………………
2. Gender………………
3. Fulladdress of the complainant ………………….………………………………

……………………………………………………………………………………………………… 

……………………………………………………………………………………………………… 

Pin Code  …………………….

Phone No. (if available)  …………………….

Mobile Number. …………………….  

E-mail (if available)  …………………………. 

5. Complaint against (Name and full address of the branch or office of the Regulated Entity)
    …………………………………………………………………………………………………………………………

Pin Code …………………………………………………………………………………………………………………..

6. Nature of relationship/account number (if any) with the Regulated Entity ………………… 

………………………………………………………………………………………………………………………………..

7. Transaction date and details, if available
…………………………………………………………………………………………………………………………………
(a) Date of complaint already made by the complainant to the Regulated Entity (Please
enclose a copy of the complaint)

…………………………………………………………………………………………………………………………………
(b) Whether any reminder was sent by the complainant? Yes/No (Please
enclose a copy of the reminder)
…………………………………………………………………………………………………………………………………
8. Please tick the relevant box (Yes/No)
Whether your complaint:

9. Subject matter of the complaint
…………………………………………………………………………………………………………………………………….
10. Details of the complaint:
(If space is not sufficient, please enclose a separate sheet)

……………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………..

……………………………………………………………………………………………………………………………………..

Complaint is sub-judice/under arbitration if the complaint in respect of the same cause of action is already pending/dealt withon merits by any Court, Tribunal or Arbitrator or any other Authority, whether individually or jointly.

11. Whether any reply has been received from the Regulated Entity within a period of 30 days
of receipt of the complaint by it? Yes/No

(if yes, please enclose a copy of the reply)

12. Relief sought from the Ombudsman

…………………………………………………………………………………………………………………………………
(Please enclose a copy of documentary proof, if any, in support of your claim)

13. Nature and extent of monetary loss, if any, claimed by the complainant by way of
compensation (please refer to clauses 15 (4) & 15 (5) of the Scheme)
Rs ……………………………………………………………………………………………………………………..

14. List of documents enclosed:

Declaration

(i) I/We, the complainant/s herein declare that:
a) the information furnished above is true and correct; and
b) I/We have not concealed or misrepresented any fact stated above, and in the documents
submitted herewith.

(ii) The complaint is filed before the expiry of a period of one year reckoned in accordance
with the provisions of clause 10 (2) of the Scheme.

Yours faithfully
(Signature of the Complainant/Authorised Representative)

AUTHORISATION

If the complainant wants to authorise a representative to appear and make submission on
her/his behalf before the Ombudsman, the following declaration should be submitted:

I/We …………………..hereby nominate Shri/Smt ……………………………………………………………….. as
my/our authorised representative whose contact details are as below:
Full Address ……………………………………………………………………………………………………………
Pin Code ……………………………………..
Phone No: ……………………………………
Mobile Number. …………………………….
E-mail …………………………………………

(Signature of the Complainant)

REFERENCE RATE (FOR FLOATING RATE LOANS)

IBL – Prime Lending Rate (IBLPLR) with effect from December 12, 2023 is:

Note: The above reference rate, depending upon the average cost of fund, credit risk premium, administrative cost and profit margin to company will be subject to change by the Company’s ALM committee from time to time.

In compliance with the Guidelines on Digital Lending issued by the Reserve Bank of India vide directions No. RBI/DOR/2025-26/347 DOR.CRE.REC.266/07-01-008/2025-26 dated November 28, 2025, under the Reserve Bank of India (Non-Banking Financial Companies – Credit Facilities) Directions, 2025, read with the Company’s Privacy Policy, as amended from time to time and available on the Company’s website, the list of Service Providers is provided below.

The list shall be updated on a quarterly basis. For details, the user may connect Customer Service Department of IBL Finance Limited at support@iblfinance.in (email) or +91-6352571130 (phone no.)

Digital Lending Applications (DLAs)

Owned by IBL Finance Limited

Details of Lending Service Providers (LSPs)

The Company has not engaged any Lending Service Providers (LSPs) for any activities including sourcing, processing, underwriting, servicing, or recovery of loans as on date. Accordingly, there are no Digital Lending Applications (DLAs) associated with any Lending Service Providers (LSPs).

Recovery Agents

The Company has not engaged any Recovery Agents.

RBI Disclaimer

RBI Disclaimer IBL Finance Limited is a Non-Banking Financial Company – Non Deposit Company (“NBFC-ND”) which was incorporated as a Private Limited Company in 2017. The Company is having a valid Certificate of Registration dated 8th March, 2018 issued by Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, Reserve Bank of India does not accept any responsibility or guarantee about the present position as to the financial soundness of the Company or the correctness of any of the statements or representations made or opinions expressed by the Company and for discharge of liability by the Company, Neither is there any provision in law to keep nor does the Company keep any part of the deposits with the Reserve Bank of India and by issuing the Certificate of Registration to the Company, the Reserve Bank neither accepts any responsibility nor guarantee for the payment of the deposit amount of any depositor.