General Terms and Conditions of the Loan Contract

 Definitions

In these general terms and conditions, terms written in initial capital letters have the meaning specified in the terms and conditions of the Loan Contract.

Repayment of the Loan

The Borrower shall repay the loan to the Lender(s) on a monthly basis in instalments specified in the terms and conditions of the Loan Contract or on the due date agreed by the Lender and the Borrower. If the due date is not a banking business day, the due date for the payment of the loan instalment and interest as well as the expenses and fees charged for the loan will be the following banking business day. If the due date is transferred, the Lender has the right to charge the interest on the loan pursuant to the interest rate determination period in force from the original due date to the new due date on the entire remaining loan principal remaining on the due date.

The loan instalment comprises any opening fee, interest, repayment of unpaid principal, account maintenance fee and charges for any additional services. The euro-denominated amounts of the instalments are specified in the Loan Contract and the loan repayment programme. The Borrower reports the desired instalment schedule in the Loan Application, and the Lender(s) may accept or reject it or propose an alternative schedule.

Interest on the Loan

The obligation to pay interest on the Loan commences from the day on which the Loan is deposited to the Borrower’s bank account. Annual interest shall be charged on the unpaid principal of the Loan as agreed in the Loan Contract. The interest is determined based on the fixed interest rate agreed between the Borrower and the Lender(s).

The actual annual interest rate on the Loan is specified in the Peer-to-Peer Lending Service and/or the Loan Contract.

Other fees charged for the Loan

An Opening Fee is charged to the Borrower upon the withdrawal of the Loan or allocated to the Loan instalments, and its amount is specified in the Loan Contract.

The Borrower shall compensate the Lender(s) for costs and fees arising from the collection of the payments and fees related to the loan, interest on it and loan servicing.

Borrower’s right to repay the Loan prematurely

The Borrower has the right to repay a larger monthly instalment than the monthly instalment specified in the Contract or the entire loan principal with interest and any other expenses without fees for premature repayment. The excess of the agreed monthly instalment will be taken into account in the next instalment(s) of the confirmed Repayment Programme.

If the Borrower repays the loan in full or part prematurely, the part of loan-related expenses allocated to the remaining term shall be deducted from the Lender’s/Lenders’ receivables. However, the Lender may collect in full the costs related to the opening of the Loan specified in the Loan Contract. The Borrower shall request payment details for premature repayment from Fellow Finance Oyjj’s customer service.

Special grounds for the Loan falling due

Default of payment

If the Lender’s receivable from the Borrower is a minimum of one month overdue and still unpaid, and if the amount overdue is a minimum of 10% of the Loan or it includes more than one instalment or it constitutes the entire remaining receivable of the Lender, the Lender and Fellow Finance Oyjj as the Lender’s representative have the right to demand the repayment of the entire remaining principal with interest and other fees by the Borrower within four (4) weeks or, if the Borrower has been informed previously of a delay in repayment, within two (2) weeks of the reminder of due date being sent to the Borrower if the overdue amount is still unpaid at that time.

However, the Loan shall not fall due if the delay in payment is due to the Borrower’s illness, unemployment or other comparable reason beyond the control of the Borrower, except for when it would be obviously unreasonable for the Lender not to demand the repayment of the Loan, considering the duration of the delay and other conditions. Fellow Finance Oyj’s customer service shall be informed of an obstacle to payment without delay.

Due to reasons other than a delay in payment

If the Borrower has provided Fellow Finance Oyj and the Lender with misleading information that may have influenced the granting of the Loan or its terms and conditions or if the Borrower is guilty of other material breach of agreement, the Lender and Fellow Finance oyj as the Lender’s representative have the right to demand the repayment of the entire remaining principal with interest and other fees by the Borrower within four (4) weeks or, if the Borrower has been informed previously of the breach of agreement, within two (2) weeks of the reminder of due date being sent to the Borrower if the breach of agreement has not been rectified by that time.

The Loan shall fall due for immediate payment as demanded by Fellow Finance Oyj as the Lender’s/Lenders’ representative if the Borrower is deceased or declared bankrupt or a district court has decided on the commencement of debt arrangements.

If the Lender or the Lender’s representative Fellow Finance Oyj does not, in spite of the existence of a grounds for the Loan falling due specified in these General Terms and Conditions of Loan, refer to the grounds for demanding immediate repayment immediately after observing it, the Lender does not waive the grounds for demanding immediate payment towards the Borrower if the grounds for demanding immediate payment continue.

Interest on arrears

If instalments are not paid by the Due Date, the Borrower is liable to pay annual interest on arrears on the overdue amount in accordance with section 4 of the Interest Act from the Due Date up to the repayment date.

If the interest on arrears determined in accordance with the above is lower than the interest payable on the Loan for the period preceding the Due Date, the interest on arrears shall be payable according to the same grounds and same interest rate as during a period of a maximum of one hundred and eighty (180) days preceding the Due Date starting from the date on which the Loan has fallen due in full. If a court decision on the Loan is issued before the end of the above period, interest shall be paid in accordance with the same grounds as before the Due Date until the issuance of the court decision.

Consequences of default of payment

If the Borrower defaults on the payment of a repayment pursuant to the Loan Contract in full or part, the Lender and Fellow Finance Oyj as the Lender’s/Lenders’ representative have the right to demand interest on arrears in accordance with the terms and conditions of the Loan Contract, demand the immediate repayment of the Loan, engage in debt collection measures and report the default of payment obligations under the Loan Contract to the credit rating register. The debt collection of the Loan results in costs for which the Borrower is liable.

 

Registration of a default of payment in the ​credit rating register

As the Lender’s/Lenders’ representative, Fellow Finance Oyj has the right to report and the registrar has the right to record the default in a credit rating register maintained by Suomen Asiakastieto Oy and/or Bisnode Finland, if the payment fallen due for payment is over sixty (60) days overdue of the original Due Date specified in the payment reminder and also twenty-one (21) days have passed since the Borrower was sent a collection letter reminding the Borrower of the possibility of the default being registered in the credit rating register.

Borrower’s duty to provide information

When applying for a loan, the Borrower asserts that the information provided by the Borrower is correct and true. The Borrower is liable for the correctness of the information provided by the Borrower. The Lender or Fellow Finance Oyj shall not be liable for errors in the application data or the note of debt and resulting delays. The address data reported by the Borrower must match information received from the Population Register Centre. The Lender and Fellow Finance Oyj as the Lender’s/Lenders’ representative have the right to ensure that the telephone number provided by the Borrower is correct and used by the Borrower.

The Borrower shall provide information on the Borrower’s financial position and other information which has effects on the lender-borrower relationship essential to the Lender to Fellow Finance Oyj as the Lender’s/Lenders’ representative in the loan application.

The Borrower is liable for the correctness of the information provided by the Borrower. The Borrower shall inform Fellow Finance of any changes in the Borrower’s address or name without delay. Fellow Finance is entitled to charge the Borrower for any reasonable expenses caused by resolving incorrect contact details.

Borrower’s authorisation

The Borrower authorises Fellow Finance Oyj to receive as the Borrower’s representative notifications from the Lenders to the Borrower and issue notifications to the Lender/Lenders on behalf of the Borrower as instructed by the Borrower.

Notifications

All notifications between the parties shall be issued to Fellow Finance Oyj as the representative of each party.

Notifications between the parties may be given validly by all parties via the Peer-to-Peer Lending Service. A notification is considered to be issued validly once it has been recorded in the data in the Peer-to-Peer Lending Service, regardless of whether the receiving party has actually seen the notification. Moreover, information on notifications in the Peer-to-Peer Lending Service is submitted to the Lender or Lenders using the e-mail address reported by the Lender to their Representative, unless the party has specified not willing to receive such information at the reported e-mail address.

Force majeure

The Lender/Lenders and Fellow Finance Oyj are not liable for damage due to unreasonable difficulties in the operation of Fellow Finance Oyj caused by the occurrence of a force majeure or similar reason. The contractual parties are obligated to inform the other party of any event of force majeure via Fellow Finance Oyj or otherwise as soon as possible. Fellow Fellow Finance Oyj shall notify the parties as agreed on notifications in these terms and conditions.

Right to amendments

The Lenders and Fellow Finance Oyj have the right to amend the terms and conditions of loan service contracts and loan contracts by informing the Borrower in advance in writing if the amendment does not increase the responsibilities or reduce the rights of the Borrower, and the amendment is due to an amendment to legislation or a decision issued by the authorities. The Borrower is considered to have approved the amendments to the terms and conditions unless the Borrower objects to the amendments by the proposed effective date of the amendments. The Borrower is informed of the amendment a minimum of one month in advance of the effective date of the amendment.

Separate debt relationships and their transferability

Each Loan Contract has as many separate debt relationships as there are Lenders in each Loan Contract, and each Lender’s rights under the Loan Contract may be separately transferred to another lender in the Peer-to-Peer Lending Service.

Contract transfer

The Lenders and Fellow Finance Oyj as the Lender’s/Lenders’ representative have the right to transfer this contract partially or fully with all rights and obligations to a third party. As the representative of the Lender(s), Fellow Finance Oyj also has the right to only transfer the rights and obligations of an individual Lender to a third party. The Borrower shall be informed of such transfer. The Borrower does not have the right to transfer this contract to a third party.

Applicable law and settlement of disputes

This Agreement is subject to Finnish legislation.

If any disputes arising from this contract cannot be resolved through negotiations between the parties, the dispute shall be resolved by the District Court of the Borrower’s domicile. If the Borrower does not have a permanent residence in Finland, disputes shall be resolved by the District Court of Helsinki.

Interpretation

In case of any different interpretation of the texts of this Agreement in Finnish and English, the Finnish wording shall be decisive.

Effective as of 5 March 2014