Loan Agreement

Between Invar Chrysos (the Lender) and the Borrower

1. Loan Details

1.1 Disbursement shall occur within 24 hours of this Agreement becoming effective

1.2 The repayment period shall be determined solely by the Lender and communicated in the Loan Confirmation (the “Agreed Period”).

2. Interest

2.1 Flat interest of 20% on the Principal Amount for the Agreed Period (calculated once, non-compounding unless overdue).

2.2 This rate complies with applicable Botswana law and does not constitute an offence under the Penal Code.

3. Repayment & Penalty Interest

3.1 Full repayment (Principal + 20% interest) in one bullet payment or small payments by the end of the Agreed Period .

3.2 Overdue amounts attract penalty interest at 5–10% per month on the Principal ( monthly charge) until full settlement.

3.3 Penalty interest is a civil contractual remedy and does not violate Constitution s 7 (protection from inhuman treatment).

4. Formation & Acceptance

4.1 The Agreement becomes binding upon:

(a) Borrower’s signature (wet or electronic); or

(b) Borrower’s explicit permission for fund transfer (e.g., “YES” SMS, app click “Accept & Receive Funds”).

4.2 By accepting, the Borrower confirms full understanding and voluntary agreement, consistent with Constitution ss 3, 10 and 19.

5. Borrower Representations & Warranties (Anti-Fraud Shield)

The Borrower warrants (and acknowledges breach may constitute an offence under the Penal Code):

5.1 All information provided (ID, address, income, purpose) is true, accurate and complete. Any falsehood constitutes false pretence under Penal Code ss 307–308.

5.2 The loan proceeds will be used only for lawful purposes and not for any financial offence (money laundering, terrorism financing, proliferation, or illicit arms dealing as defined in the Financial Intelligence Act 2022 and Penal Code).

5.3 The Borrower is not a designated/nationally listed person under the Financial Intelligence Act 2022.

5.4 Breach of any warranty is an immediate Event of Default and may trigger criminal reporting to the Botswana Police or Financial Intelligence Agency.

6. Customer Due Diligence & AML Compliance (FIA 2022)

6.1 The Borrower agrees to provide all information and documents required for customer due diligence, ongoing monitoring, and risk assessment under the Financial Intelligence Act 2022 (ss 16–30). This includes identity verification, beneficial owner details (if applicable), source of funds, and purpose of the loan.

6.2 The Borrower irrevocably consents to the Lender:

(a) processing and storing personal data;

(b) sharing data with the Financial Intelligence Agency, supervisory authorities, or credit bureaus as required by law;

(c) reporting any suspicious transaction under s 38 of the Financial Intelligence Act 2022.

6.3 The Borrower waives any privacy claim (Constitution s 9) arising from such processing/reporting done in good faith.

7. Events of Default & Acceleration

The loan becomes immediately due in full upon any of the following (in addition to Clause 3):

7.1 Failure to pay on due date;

7.2 Any warranty/representation in Clause 5 is false or breached;

7.3 Use of funds for a criminal purpose (Penal Code or Financial Intelligence Act 2022 offences);

.4 Insolvency, death without representative, or attempt to assign the loan;

7.5 Any other event that, in the Lender’s reasonable opinion, increases risk of financial offence. Upon default, the Lender may accelerate without notice and pursue all remedies.

8. Recovery & Costs (Lender Protection)

8.1 The Borrower shall pay all recovery costs (attorney fees on attorney-and-client scale, collection, tracing, court, and sheriff fees) as a debt.

8.2 All remedies are exercised through lawful court processes (Constitution s 10 – protection of law).

8.3 The Lender may set off any amount owed against sums due to the Borrower from any transaction. 8.4 Credit reporting/blacklisting consent (already given in Clause 6.2).

9. Prepayment & No Rebate

Early repayment permitted, but full 20% interest for the Agreed Period remains due. No rebate.

. General Provisions (Constitutional & Statutory Compliance)

10.1 Governing Law: Laws of the Republic of Botswana (including Penal Code Cap. 08:01, Constitution, and Financial Intelligence Act 2022).

10.2 Jurisdiction: Magistrates’ or High Court, Gaborone. Borrower submits to this jurisdiction.

10.3 Entire Agreement: No oral variations.

10.4 Severability: Invalid clauses do not affect the rest.

10.5 Notices: By SMS, WhatsApp, email or registered post to Borrower’s details.

10.6 No Waiver: Lender’s indulgence does not waive rights.

10.7 Indemnity: Borrower indemnifies Lender against all losses from breach, including any Financial Intelligence Act 2022 penalties or Penal Code liability.

10.8 This Agreement does not authorise any action that would contravene the Constitution or any law.

11. Acceptance

Borrower:

I have read, understood and accept all terms (including AML/CDD obligations and Penal Code warranties). Full Name: ___________________________ Signature / Electronic Acceptance (“YES” / app click): ________________________ Date: __________