Product Offerings

Self Help Groups (SHG)

  • Group is the borrowing unit
  • Savings at SHG level
  • Power of Attorney to 2-3 members to sign for SHG
  • Group size (10-20)
  • SHG is liable for member default

Joint Liability Group (JLG)

  • JLG groups of 4-9 members
  • Loans directly to members
  • No processing fees for loans
    < Rs.25,000
  • Individual members sign all documents
  • JLG group gives mutual guarantee for members default

Credit Insurance

  • Member and Spouse covered to the extent of loan amount
  • Spouse Insurance optional
  • On Member's death, the loan account will be closed and the balance amount transferred to nominees account directly
  • On nominee's death, the full insurance amount is given to member to recoup from the loss

Savings Account

  • Group Savings and Individual Savings account facility is provided
  • M-ATM facility is provided by some Banks to enable withdrawals
  • Loan EMI adjustment options available to members


Product offered Joint Liability Group Self Help Group loans
Loan amounts Rs. 10,000 to Rs. 35,000 Rs. 10,000 to Rs. 35,000
Collections Frequency Monthly Collections Monthly Collections
Tenure 18 months to 24 months 18 months to 24 months
Interest rate (diminishing balance) 24% to 26% 24% to 26%
Processing Fees 1% For loan above Rs. 25,000/- 1% For loan above Rs. 25,000/-
* No processing fees charged for IDBI Bank Loans