In general, an Issuer is considered to have defaulted when the Issuer fails to repay any of its Issued Note(s) after 90 days from the due date of the said Note(s).

In such rare event, FinPAL will use best endeavour to resolve defaults and/or recall repayment for defaults, including but not limiting to the below:

A) Restructuring the defaulted Issued Note(s) to stretch the repayment periods if FinPAL receives justified request from the Issuer;

B) Pursuing the guarantor for repayments or exercising rights on the guarantee(s) given, if any;

C) Outsourcing to collection agency to pursue fund collection; and

D) Where necessary, taking legal action against the Issuer.

At the same time, a penalty interest will continue be charged on the defaulted Notes (subject to any restructuring and/or recovery terms).

Throughout the process, the investor will be informed on the payment status of the Issued Notes and situation of the Issuers.