CONTRACT

1. This contract sets out the complete Terms and Conditions (hereinafter called "These Terms and Conditions") which shall be applicable to Enderas & Adrash micro credit service.
2. These terms and conditions, as well as any related amendments or changes, will become effective once the individual customer has read and accepted them (by clicking on the option to Activate).
3. Definitions

In these Terms and Conditions, the following words and expressions bear the following meanings:

• "Adrash Salary credit service" means a credit service provided by the Commercial Bank of Ethiopia in collaboration with Ethio Telecom via Ethio telecom's telebirr platform to employees of private and public institutions based on the agreement with their respective institutions whose monthly salaries are paid through telebirr service.
• "Bad debit" is a debt that has not been paid within 90 days after the due date.
• "Commercial Bank of Ethiopia" means a regulated financial institution agreed to provide mobile financial services to telebirr customers in collaboration with Ethio telecom.
• "Daily fee” means the amount of fee paid by individual customers on daily basis for the number of days that the outstanding amount is not paid within the contract period
• "Due date" is the last date in which the individual customer is expected to complete his credit repayment.
• "e-Money" means the electronic monetary value depicted in individual customers telebirr Account representing an equal amount of cash.
• "Enderas credit Service" means credit service provided by Commercial bank of Ethiopia in collaboration with Ethio Telecom, and that enables telebirr customers to access credit service through telebirr platforms (USSD /*127#, SupperApp) in accordance with the terms and conditions set forth below.
• "Ethio telecom" means a licensed payment instrument issuer who is agreed to facilitate mobile financial services (micro credit service) to its telebirr customers in collaboration with Commercial Bank of Ethiopia
• "Facilitation Fees" means the amount of fee paid by customers for the processing of credit services.
• "Individual Customer" means any natural person who has telebirr account and agreed to take micro credit service as defined above
• "National Bank of Ethiopia (NBE)" means the institution with the authority to license and supervise financial institutions in accordance with Proclamation No. 718/2011 (as amended by 1282/2023)
• "Penalty fee" means the fee which the Individual customers shall be charged if they fail to honor their commitments on time or within the due date.
• "telebirr" means trade name of Ethio telecom mobile money service used to access financial services such as to store, send, receive money, micro credit, micro insurance, pension, and micro saving services using their mobile phones.
• "telebirr Account" means account opened for telebirr user to store, send, and receive electronic money.
• The word “individual" shall include both the masculine and the feminine gender.
• "We," "our," and "us," means Commercial Bank of Ethiopia and Ethio telecom.
• Words expressed feminine also applicable to masculine
• "You" or "your" means the individual customer and includes the personal representatives of the individual.

2. Acceptance of the Terms and Conditions
   • Commercial bank of Ethiopia, in collaboration with Ethio telecom, offers this credit service, Commercial bank of Ethiopia owns and controls the money used to provide credit services.
   • To activate the Enderas service, individual customers shall use USSD *127# or telebirr super App.
   • Before applying to use Enderas and Adrash micro credit service, you should carefully read and understand these Terms and Conditions that will govern the use and operation of Enderas and Adrash micro credit service.
   • If you do not agree with these Terms and Conditions, please do not click the option "Activate" on the Menu.
   • You will be deemed to have read, understood, and accepted these Terms and Conditions, upon clicking on the "Activate" option on the Menu requesting you to confirm that you have read, understood, and agreed to abide with these Terms and Conditions; and/or by using or continuing to use and operate Enderas and Adrash credit Service.
   • You acknowledge and accept the Enderas and Adrash micro credit service only electronically via telebirr.
   • The terms and conditions can be modified or changed at any time by Ethio telecom and/or Commercial Bank of Ethiopia. Upon these changes, notification will be sent to you through appropriate communication channels. The updated term and condition will be binding on the individual customer from the date they are published on the telebirr Super App, portal, or website.
   • Once the Terms and Conditions are accepted electronically, they shall constitute a legally binding contract between you and us. You are not allowed to transfer any of your rights or obligations under this agreement to anyone else.
   • The individual customer agrees to use the credit only for lawful purposes.

3. Activation for Enderas Service

3.1 To activate Enderas service with Ethio telecom and Commercial bank of Ethiopia, you must be at least:

• Able to read, understand and accept these terms and conditions.
• 18-year-old and above.
• Have an Ethio telecom active SIM card.
• Active user of telebirr and Ethio telecom products such as Data/Voice/SMS.
• Stay on network for three months after registered for SIM card and telebirr service.

4. Eligibility Criteria to Get Enderas Service

4.1 An individual customer's borrowing capacity is determined by his or her 6-month telebirr transaction and telecom usage prior to the date of the Enderas service request. The telebirr transactions listed below are used to determine a customer's creditworthiness:

• Purchase airtime
• Packages purchase
• Buy goods/service
• Pay bills
• Utility payment
• Bulk disbursement
• Receive Remittance
• Ticket purchase
• Fundraising payment
• Cash in & Out
• Send money
• Loan repayment
• Saving
• Telecom usage like Voice, Data and SMS etc.

4.2.  However, for Adrash credit service, receiving salary via telebirr and agreement with the institution in which the individual customer is working, will be the requirement.

5. Credit Amount and Fees.
   • Based on your transaction activities you can borrow any amount between the minimum and maximum amount permitted.
   • Pursuant to Council of Ministers Regulation No. 576/2025, which establishes the Ethiopian Disaster Risk Response Fund, a mandatory contribution of 1% will be deducted from the total credit amount you have requested and transferred to the Ethiopian Disaster Risk Response Fund. The remaining amount of your approved credit will then be disbursed to your telebirr account.
   • You should repay your previous credit first to get another credit.
   • You can pay your credit partially or fully.
   • Credit repayment deadline will be 10-days, 25-days and 60 days from the date of taking the loan, depending on the type of credit.
   • For 10-days enderas, maximum credit limit is birr 4,000 birr, for 25-days enderas maximum credit limit is 10,000 birr and 60 days enderas maximum credit limit is 15,000 birr and for all credit types of the minimum credit limit is 100 birr.
   • If you repay your 10-days credit within the due date, you will be charged a facilitation fee of 1.25% on day one and you will be charged a daily fee ranging from 0.50% to 0.80% for the rest of repayment period depending on your credit limit.
   • If you repay your 25-days credit within the due date, you will be charged a facilitation fee of 2.50% on day one and you will be charged a daily fee ranging from 0.50% to 0.80% for the rest of repayment period depending on your credit limit.
   • If you repay your 60-days credit within the due date, you will be charged a facilitation fee of 6.50% on day one and you will be charged a daily fee ranging from 0.50% to 0.80% for the rest of repayment period depending on your credit limit.
   • The facilitation fee for 4-month salary Adrash is 21% with 12 months repayment period.
   • The facilitation fee for 3-month salary Adrash is 18% with 9 months repayment period.
   • The facilitation fee for 2-month salary Adrash is 15% with 6 months repayment period.
   • The facilitation fee for a one-month salary Adrash is 14%, with a four-month repayment period.
   • The facilitation fee for a one-month salary Adrash is 10%, with a three-month repayment period.
   • The facilitation fee for a half-month salary Adrash is 8%, with a two-month repayment period.
   • The facilitation fee for a 25% of monthly salary Adrash is 4%, with a one-month repayment period.
   • For Adrash, the repayment will be installment base (outstanding credit amount will be prorated for repayment period) that will be settled every month.
   • After the due date, you will be charged a penalty fee of 0.17% the outstanding principal balance per day up on repayment.
   • The bonus/incentive will not be applicable for Enderas and Adrash service repayment.

6. Nonperforming loan collection
   • After the due date, we will take the outstanding credit amount from your telebirr account and saving account respectively.
   • If the loan is not repaid when it is overdue, Ethio Telecom and Commercial Bank of Ethiopia may, where necessary, collect the debt using any alternative means, including direct debit from individual customer Commercial Bank of Ethiopia or any other bank accounts.
   • The individual customer agrees that Ethio Telecom and Commercial of Bank Ethiopia have the right to collect the debt by using alternative means, such as obtaining the individual customer’s address, in order to assist in the collection of the debt outside of court.
   • The individual customer agrees that if the debt is not paid when it is overdue, Ethio Telecom and Commercial of Bank Ethiopia may transfer the individual customer's personal data to a third party (law firm or individual) involved in debt collection.
   • If the debt is not paid through an out-of-court alternative Ethio Telecom and or Commercial Bank of Ethiopia have full right to take the case to a regular court by themselves or separately or through another legal service providing firm or an attorney.
   • A customer with an NPL loan status can use ‘NPL installment repayment plan’ to settle the total loan with different repayment options, there will be a service charge from 0.75% -1% depending on the NPL installment repayment plan.
   • The loan extension feature can be applied before the loan’s due date. The extension period is up to a maximum of 10 days, with a daily fee of 0.08%.

• Governing Law

The laws of the Federal Democratic Republic of Ethiopia, the directives of the National Bank of Ethiopia, as well as the relevant procedures of the Commercial Bank of Ethiopia and Ethio telecom shall govern these Terms and Conditions.

• Queries

For any inquiries regarding the telebirr Services, Procedures, Terms and Conditions of the telebirr, can call the telebirr Customer Contact Center (127 ), send a short SMS to 126 or visit the telebirr Social media Pages (https://telehub.ethiotelecom.et/) for more information.

• Termination

We are entitled to suspend or terminate this agreement wholly or partially due to your abuse, misuse of any micro saving and micro loan services with or without prior notice to you. Any termination of this contract in complete or in part may not affect any accrued rights and obligations of either party.

• Complaints

Complaints may be submitted in person, in writing, by mail, fax, email, or telephone. Ethio telecom will take all necessary measures to resolve your complaint within an appropriate timeframe. If you are not satisfied with the response, you may escalate the matter to Commercial bank of Ethiopia and the National Bank of Ethiopia, respectively. If the contracting parties are unable to reach an agreement within 30 calendar days from the date the complaint was first submitted to Ethio telecom, they agree to submit the matter exclusively to a court of competent jurisdiction within Ethiopia.

• Lien

We shall have a general lien over all your property/assets in its possession in the event that you owe any money to us including but not limited to cash, goods, securities or valuables deposited for safe custody as security, cheques presented, bills and any other movable or immovable property. Where you are indebted to us in circumstances giving us a right of set off, all property held under lien shall be deemed to be held as security for the debt

• Set-Off

We may, upon notice, combine/consolidate your telebirr Account with any of your other accounts held in us, whether current, loan, savings, deposit, term deposit, joint or any other type and thereafter set off any amount held to your credit against any indebtedness you owe to us.

• Disclaimer

Your PIN must be kept secret and not accessible to anyone other than you. The consequences of disclosing the PIN, unauthorized use of the telebirr account, cell phone, or SIM card, failing to report loss or theft, or not regularly changing your pin are solely your responsibility.