Cancellation policy :
If the customer decides to terminate the lease contract at any point of time, following would be the norms applicable :
1) Cancellation more than 1 day before delivery : no charges will be levied. Deposit amount and advance rental would be returned
2) Cancellation 1 day before delivery : 1 month deposit would be retained by the company
3) Cancellation during delivery : 1 month deposit would be retained by the company
4) Termination of the lease contract before the expiry period :As per the flexi – tenure policy, the slab would be changed as per the tenure actually used and revised rental calculated.
The contract can be terminated by informing the company 2 weeks in advance before the scheduled expiry date.
Cancellation amount due from the customer (in case of termination before expiry date) would be calculated as below =
((Monthly Rent amount basis revised tenure or Tenure New ) – ( Monthly Rent basis original tenure)) * No of months actually used
Eg Monthly rentals for a product (Fiona Mod Single Bed)
Tenure Rent per month
12 months - 909
9 months - 992
6 Months - 1115
Against the original tenure of 12 months, customer decides to terminate the rental contract after using it for 10 months. Since there is no rental amount fixed for 14 months, we take the next tenure month ie 12 months.
The applicable “ new” tenure rates for early closure are as below :
The cancellation amount (X) would be calculated as below :
X = (992 – 909) * 10 = Rs 830
Renewal / Extension Policy :
A customer has the flexibility of renewing his contract and enjoying the comfort of Godrej furniture till he wants. By opting to use the furniture for additional number of months, customer stands to enjoy the advantage of reduced monthly rentals. The new monthly rental is calculated after adjusting the rentals already paid. Monthly rentals reduce with increase in overall tenure.
The new monthly rental amount (for the extended period ie phase 2 ) would be as below =
((Total Rental amount for the complete tenure)-(Total Rental amount already paid in the phase 1)) / Number of Months in Phase 2
Eg Monthly rentals for a product (Fiona Single Bed)
Tenure Rent per month
12 months - Rs 909
6 months - Rs 1115
After using the product for 6 months (phase 1) , customer decides to extend the rental contract by another 6 months (phase 2). The new Rental amount for the balance 6 months (phase 2) would be calculated as below
X (phase 2 per month rental amount) = ((12 * 909 ) – ( 6 * 1115 )) / 6
X = Rs 703