Last Reviewed On: September 15, 2022 (Version 2)

Acuite has noted that certain bank borrowers execute mandates for rating only a part of their overall sanctioned bank facility(s). Such a practice is highly discouraged by Acuité, as this may create unwarranted conflicts in the rating process.

In case a bank loan rating mandate is reported that doesn’t include 100% of the total existing bank facilities, the following guidelines shall apply:

1. Acuite will accept such a mandate only if the quantum covered in the mandate is the highest of::
   1. 25% of the overall sanctioned bank facility OR
   2. Rs. 25 cr OR
   3. complete exposure to at least one specific sanctioned bank facility in its entirety.
2. A cooling-off period of clear 45 calendar days (from the date of rating communication on the partial quantum of bank facilities) will be observed by Acuite before accepting an enhancement mandate.