Default in terms of this Agreement will occur if:
- The Borrower fails to make repayment in full, on or before the payment date in accordance with the monthly repayment plan given to the borrower;
- Any representation, warranty or assurance made or given by the Borrower in connection with the application for this loan or any inform ation or documentation supplied by the Borrower, is later discovered to be materially incorrect; or
- The Borrower does or omits to do anything which may prejudice the Lender’s rights terms of this Agreement or cause the Lender to suffer any loss or damage.
If the Borrowers default in their obligations under this Agreement, the Lender will be entitled to do the following.
- The Lender will on each Repayment Date collect the total amount payable by that date in accordance with the repayment plan schedule given to the Borrower.
Where the Borrower fails to honor their obligation to repay their total monthly repayment amount by the due date, the Lender will attempt to collect the outstanding amount within the next twenty-four (24) hours.
- Where more than forty-eight (48) hours have elapsed since the repayment date and the repayment amount (total or partial) still remains outstanding, the Lender will start calculating accelerated interest at the rate of 2.5% plus the applicable borrowing interest rate.
- Following the borrower’s default, the Lender reserves the right to assign its right, title and interest under the Agreement to an external collections agency who will take all steps, within the bounds of the law, to collect the outstanding loan amount.
- The Lender also reserves the right to start legal proceedings against the defaulting Borrower and is under no obligation to inform the Borrower before such proceedings commence.
- The Lender will be entitled to terminate this Agreement (after service of any notice required there under) if the Borrower in any way perpetrates or attempt to or is involved in any act of fraud or other criminal activity in Respect of Efinance Limited or the Loan, or if any information provided by Borrower as part of the application is incorrect or misleading in any material manner. On such termination, the Lender reserves the right to demand repayment of the full loan amount with interest calculated as stipulated in these Terms and Conditions.
- Hold the Borrower responsible for all legal costs and expenses incurred by the Lender in attempting to obtain repayment of any outstanding loan balance owed by the Borrower. Interest on any amount which becomes due and payable shall be charged in accordance with these Terms and Conditions.