Pursuant to RBI Circular RBI/2024-25/18 DOR.STR.REC.13/13.03.00/2024-25 dated April 15,2024 its mandated by Reserve Bank of India To All Regulated Entities to Provide Key Fact Statement which include all charges , penalties , fees collected or levied by the Regulated entities while sanctioning loan which shall become inherent part of Loan agreement also , post inclusion of such details into Key Fact Statement , regulated entities will give either one working day ( for loan tenure less than 7 days ) else 3 working day time period to the borrower to accept the Terms of loan mentioned in KEY FACT STATEMENT and post borrower consent will bound by the terms of of the loan indicated in the KFS.
KFS should also include computation of Annual Percent Rate ( APR ) & amortization schedule
Applicability of KFS is for all Retail Loans and MSME loan extended on or after 01st October 2024, it become essential for the all regulated entities to keep abreast themselves with the requirement of KFS and keep close eyes on calculations part
The annexed excel workbook will help to understand the nuances of KFS and requirement, This workbook contain following sheets
Sheet 1- For data entry ( all green fields for respective applicable data)
Sheet 2 – KFS Part 1 ( Select unique Loan proposal no mentioned in Sheet 1) Rest All Auto Calculated
Sheet 3- KFS Part 2 ( Data Fetched From Sheet 1 & Loan Proposal selected from Sheet 2)
Sheet 4- APR Computation ( Auto Calculated )
Sheet 5 – Loan Amortization Schedule ( Auto Calculated )
To Save Each Sheet Press Ctrl +P From Sheet 2 to Sheet 5 and Save as PDF or Can print
The purpose and intent of KFS sheet is to keep abreast professional community to understand the requirements as per RBI circular
Disclaimer : Please note the utmost care has been taken to prepare this sheet , but still there are chances of either incorrect calculation or wrong data which may not be in compliance with the extent rbi circular or any other notifications , directions or guidelines issued thereunder , I disclaim all kind of loss , damages , regulatory actions, suits or any other kind of action taken based on the attached excel sheet or contents therein. Consider it For educational purpose only.
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