70% PF sharing in the new pay-out structure for LAS w.e.f. October 1, 2022

October 25, 2022

Dear Business Partner,

We wish you and your family a very happy Diwali. On the auspicious occasion of the festival of lights, we also have a gift for you. We are happy to announce a new pay-out structure for our Loan Against Securities (LAS) products effective from October 1, 2022. Under the new pay-out structure, the processing fee (PF) sharing has been raised to 70% from 50% earlier.

RAC rates and book targets for LAS

Per case
(average utilisation for the month)		 RAC Rate Max Rate
<Rs.10 lakh 10.25% 10.75%
Rs.10 lakh - < Rs.25 lakh 9.75% 10.25%
Rs.25 lakh - < Rs.50 lakh 9.50% 9.75%
Rs.50 lakh - <Rs.1 crore 9.25% 9.50%
Rs.1 crore - < Rs.3 crore 9.00% 9.25%
Rs.3 crore - < Rs.5 crore 8.50% 8.75%
>= Rs.5 crore 8.40% 8.75%
 
Book Target Sharing ratio on rate over and above RAC and <= max rates
< Rs.5 crore 5%
>= Rs.5 crore 10%
>= Rs.10 crore 14%
>= Rs.15 crore 17%
>=Rs.20 crore 21%
>=Rs.25 crore 24%

Note: To earn a substantial sharing on interest, a Business Partner has to not only charge a rate above the RAC rate but also have a substantial book with Sharekhan BNP Paribas Financial Services.

Terms

  1. Sharing will be calculated on the interest collected above the RAC rate.
  2. For cases on which interest charged is more than the RAC but less than or equal to the max rate, sharing will be as mentioned in the grid below (as per the category a Business Partners falls in).
  3. For cases on which interest charged is more than the max rate:
    • Sharing on the interest charged between the RAC rate and the max rate will be as per the percentages mentioned in the below grid (depending on the Business Partner category) plus
    • Sharing on interest charged over and above the max rate will be capped at 15%.
  4. Pay-out on cases with exceptions on the credit policy and RAC rates will be decided on a case-to-case basis.
  5. As for the PF, it will be 70% of the PF collected by the Business Partner.

Iss Diwali, LAS ka new pay-out structure ke saath business grow kar, Sharekhan kar.

Published by Team Internal Communications
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