Asirvad Microfinance

Asirvad Microfinance

Getting access to credit, sometimes, becomes difficult even for a salaried or self-employed professional. Imagine, how would a poor un-employed individual get a loan amidst enormous banking formalities? A large segment of people who live under poverty find it hard to get finance from established lending institutions. As the country aim for an inclusive growth at all sectors, the provision of micro credit is certainly a powerful tool that will bring financial inclusion.

Having visualised financial inclusion is the only way for development, Asirvad Microfinance helps poor communities to establish small businesses in the society. The beneficiaries include fishermen, artisans, farmers, small entrepreneurs, deprived communities etc.

Advantages and Features of Asirvad Microfinance

• Aimed at empowering poor men and women and their livelihood
• To improve the living conditions of the marginalised people
• To fund the small and micro business entrepreneurs
• Loan for low-cost house building
• Loans to generate income for the poor people

Asirvad Microfinance Products and Services

Asirvad Microfinance provides to poor women the following products and services.

Income Generation Loan

Individuals, who are unable to access credit through formal banking system, can get financial help through income generation loan. Poor people, who are involved in micro businesses to support their family, are identified and given credit assistance. Asirvad Microfinance provides loan amount as per the repaying capacity of the borrower. If the customer has diligently repaid the loan, she is encouraged to borrower more to expand the business.

Under this scheme, the borrowers can get loans up to INR 35,000 at 23% interest rate with the maximum tenure of 2 years.

Product Loan

Product loan scheme provided by Asirvad Microfinance company enables the borrowers to purchase materials for houses and personal use. The loan under this scheme can be repaid in 2 years at the interest rate of 24%.

SME Loan

Individuals or a group of people who want to start small or medium enterprises can avail SME loan from Asirvad. The maximum loan amount that can be acquired is INR 10 Lakhs at 24% of interest rate. The loan can be repaid within 5 years. No collateral is required for loans up to INR 2 Lakhs. The applicant may have to pay a fee of 1% of the loan amount for processing the loan.

Asirvad Microfinance Location

To apply for a loan with Asirvad Microfinance, you can contact them at their branches or the head office located in Chennai.

Corporate office Address

1st, Floor, Lemuir Building,

10, GN Chetty Road,

T. Nagar, Chennai-600 017.

Registered Office:

47, Whites Road 1st Floor,

Deshabandu Plaza,

Royapettah, Chennai, TN, 600014.

You can also reach them out to register your feedback, complaint, grievance or query at info(at)asirvadindia(dot)org.

Grievance Redressal Mechanism at Asirvad Microfinance

Asirvad Microfinance aims to provide resolution to their customers in a fair and timely manner. All the passbooks are provided with the telephone number of branch managers in order to contact them for any query and complaints. Customers can also call the toll-free number 1800 270 1164 for registering any complaint or grievances.

Step 1: Complaint Register

The customers can directly walk in to the branch office and register the complaint by filling up the complaint form available. The complaint is sent to the respective department and it will be responded in 2 working days.

Step 2: Grievance Officer

If the complaint is not redressed within the timeline, it can be escalated with the Grievance Redressal Officer of Asirvad Microfinance. The Grievance officer can be contacted at the following address

Grievance Officer,

Asirvad Microfinance Limited

1st, Floor, Lemuir Building,

10, G.N. Chetty Road,

T.Nagar, Chennai -600 017.

What Is Microfinance?

Microfinance is a type of banking service that is provided to unemployed or low-income individuals or groups especially people who have no access to credit in the formal banking system. Microfinance is an alternative to banks for people who live in remote villages of the country. The goal of micro credit companies is to provide a financial opportunity to poor people to become self-supportive and to those who did not have to avail formal credit. While microfinance is concentrated in the rural regions, it is also prevalent in urban poor, who have continued to be a segment that has been neglected by the organized form of banking.

Microfinance, an Alternative to Banks

Though India is experiencing a rapid growth at all sectors, there are still a certain percentage of people who are not covered by the formal banking system. Firstly, most of these people do not have a bank account and getting a loan from bank is even more a tough task.

Banks demand a steady source of income, worthy collateral, credit score etc. to provide a loan. People who have none of these have no chance of availing a credit to become self-supportive. More importantly banks require authenticated documents like ID proof, address proof, PAN, Aadhar card, proof of continuous employment which is not easily available with the segment that does not have much or any of the above documents required. These documents form the bulk of the qualifying criteria, which if an applicant does not meet will be rejected for a loan. Microfinance in India is addressing this need of the people.

Microfinance, identifying, small entrepreneurs come forward to uplift their lives by providing micro credit within their repayment capacity. The Microfinance companies conduct camps at remote villages and some urban pockets and offer financial assistance.

Who Are the Beneficiaries of Microfinance?

The established lending institutions generally cover salaried or self-employed professionals who have a steady source of income or work in an organised sector. Microfinance benefits the people who are involved in profession such as fishery, artisans, constructions works, vendors, small entrepreneurs etc. These individuals generally work in unorganised sectors and live in remote villages or slums in urban areas.

How Does Microfinance Help?

Economically weaker section of people get access to micro credit to enhance their lifestyle in several ways. With varied products from the Microfinance companies, the borrowers can use the funding for start a small business, build a low-cost house, get sanitation facilities etc.

Microfinance companies generally work through self-help groups in the rural and urban localities to provide the financial assistance to economically deprived people.

How Can Indians With No Credit History Get Loans and Credit Cards?

Our country can boast of a vibrant economy only when all segment of people can get access to credit. This is the only way to achieve an inclusive growth. CreditMantri, helps individuals who are otherwise unable to get credit in any form through formal banking system. The first-time borrowers who do not have a credit score or collateral can use CreditMantri platform to explore lenders who are willing to lend to them based on other criteria.

CreditMantri works with multiple lenders which include leading banks and NBFCs to also develop special products like small ticket loans which are able to provide such applicants a loan even with no credit score, a bad credit rating and with negative issues.

About Asirvad Microfinance

Asirvad is a Non-Banking Financial Corporation (NBFC – MFI) based out of Chennai, Tamil Nadu. It was founded in 2007 and started its lending operation from 21st January 2008. Aimed to alleviate poverty in the country, the microfinance company has been disbursing loans to poor individuals who have no access to getting loans in any form from banks.

Frequently Asked Questions About Asirvad Microfinance

1. Who can avail credit from Asirvad Microfinance?

People who are not covered by formal banking system, living in urban slums or remote villages can avail micro credit from Asirvad Microfinance.

2. For what purposes the micro credit is offered by Asirvad Microfinance?

Asirvad Microfinance is provided for the purpose of micro business units, low-cost house building, construction of toilets, setting up irrigation system, purchase of solar ware etc.

3. What is the maximum amount of loan you can get under Asirvad Microfinance?

The loan amount is disbursed as per the scheme and repaying capacity of the borrower.

4. What are types of loans available from Asirvad Microfinance?

The borrowers can get product loan, SME loan and Income Generation loan from Asirvad Microfinance.