Joint Liability Group
Loan to women belonging poor and middle income group
- To augment flow of credit to farmers, especially small, marginal, tenant farmers, oral lessees, share croppers / individuals taking up farm activities.
- To serve as collateral substitute for loans to be provided to the target group.
- To build mutual trust and confidence between bank and the target group.
- To minimize the risks in the loan portfolio for the banks through group approach, cluster approach, peer education and credit discipline.
- To provide food security to vulnerable section by enhanced agriculture production, productivity and livelihood promotion through JLG mechanism.
Criteria for membership
- Members should belong to similar socio-economic status, background and environment carrying out farming and Allied activities and who agree to function as a joint liability group. This way the groups would be homogeneous and organized by likeminded farmers/Individuals and develop mutual trust and respect.
- The members should be residing in the same village / area / neighbourhood and should know and trust each other well enough to take up joint liability for group/ individual Loans.
- Members who have defaulted to any other formal financial Institution, in the past, are debarred from the Group Membership.
- More than one person from the same family should not be included in the same JLG.
- Period of loan is up to 52 week
- Repayment weekly
- ID and Address proof
- KYC Document
- Recent Colour photo
- Group resolution
- Inspection Report
- GRT report
- Dead of hypothecation
- Group guarantee
- D.P. Note
|Fixed Deposits Tenure Period
||Rate of Interest#
|15 days to 45 days
|46 days to 90 days
|91 days to 179 days
|181 days to 15 months
|Above 15 month to 3 years
|Above 3 years to 5 years
|Above 5 years to 10 years
|for 10 years Rs 750000(miss/sr.citi.)