If the Issuer fails to pay an amount due, be it interest/profit and/or principal amount, a grace period of up to 7 days (“Grace Period”) may be granted at our sole discretion.
If the Grace Period is granted to the Issuer and the Issuer fails to pay the overdue amount by the end of the Grace Period (“Grace Period Expiry Date”), it is an occurrence of event of default, and we will commence the necessary default management and recovery actions in accordance with the Issuer Agreement.
In addition to that, after the Grace Period Expiry Date, the Issuer will incur the following charges:
(a) If it is a conventional investment note, a late payment interest of 3.50% per annum plus the interest rate of your investment note on such overdue amount, from and including the due date up to and excluding the settlement date or
(b) If it is an Islamic investment note, a late payment compensation on such overdue amount at an amount and manner, as prescribed by the Shariah Advisory Council of Securities Commission Malaysia.
You may refer to the terms and conditions stated in the Issuer Agreement for further details.