Nature of Platform
Trustrails Technologies Private Limited operates Le’udhaar as a technology infrastructure platform that enables digital documentation, repayment automation, and mandate facilitation between private individuals and businesses.
The Company:
- Is not a Non-Banking Financial Company (NBFC)
- Is not a P2P NBFC
- Is not a bank or financial institution
- Does not lend its own funds
- Does not pool user funds
- Does not guarantee repayment
- Does not underwrite credit risk
All lending decisions are made independently by users. The Company acts solely as a documentation, mandate-facilitation, and repayment-support infrastructure provider.
Loan Flow & Fund Release Mechanism
- Borrower initiates loan request.
- Lender reviews and independently decides whether to fund.
- If lender agrees, lender transfers funds to platform wallet.
- Funds remain temporarily held until BOTH:
- Borrower executes digital agreement via eSign/OTP.
- Borrower successfully sets up primary auto-debit mandate.
- Only after successful mandate confirmation are funds released to borrower’s bank account / UPI / designated payout method.
Platform does not guarantee completion of mandate setup or repayment.
Optional Secondary Micro-Debit Mandate
Borrower may voluntarily opt to authorize a secondary micro-debit mandate.
This mandate may be triggered ONLY IF:
- Primary mandate fails, AND
- (Note: If Le'Legally enforcement is activated, our support team will actively follow up with the borrower to re-establish the mandate. Failure to comply may result in formal legal action.)
- At least three (3) documented reminder/calling attempts have been made over a minimum period of three (3) days.
Micro-debit authorization is optional and requires explicit consent at mandate setup.
Risk Allocation
All credit risk, default risk, and recovery risk is borne exclusively by users.
The Company does not provide any assurance of repayment or recovery success.
Recovery & Communication Standards
The Company’s reminder and calling support shall:
- Operate within reasonable hours
- Avoid harassment, coercion, or public shaming
- Use professional communication
- Escalate to legal coordination only upon lender request
Limitation of Liability
The Company shall not be liable for:
- Borrower default
- Mandate failures
- (Note: While we are not liable, if Le'Legally enforcement is activated, our support team will actively pursue the borrower to re-establish the mandate, failing which formal legal proceedings may be initiated.)
- Banking downtime
- Payment aggregator failures
- User misrepresentation
- Interest rate disputes between users