Samhita Microfinance

Samhita 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, Samhita 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 Samhita Microfinance

• Aimed at empowering poor 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 and reparation works
• Pension scheme for workers from the unorganised sectors
• Insurance scheme for the poor
• Loan for low-cost house building

Samhita Microfinance Products and Services

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

Loan Product

• Loan Size: Minimum Rs. 5,000 – Maximum Rs. 49,850
• First Cycle: Rs. 5,000 - Rs. 15,000
• Loan Tenure: 6 months – 24 months
• Repayment Frequency: Weekly, Fortnightly, Monthly
• Rate of Interest (Reducing basis): 24% per annum for loans up to 18 months tenure and 26% per annum for loans of 24 months tenure
• Loan Processing Fees: 1% of the loan amount + Service Tax
• Collateral: No collateral required
• Pre-Payment Charges: No prepayment charges
• Loan Cover Insurance (Compulsory) Premium: For member and her spouse at the rate of Rs.5.93 per annum for Rs. 1,000 of loan amount and for only the member at the rate of Rs.2.14 per annum for Rs. 1,000 of loan amount

Micro Insurance and Pension

Under this scheme, the poor people are covered under micro insurance in order to get a financial production. The benefit of the insurance is valid as long the tenure of the loan. The insurance premium will be 0.79% of the loan amount. The pay-out made only at the death of the insured.

The National Pension Scheme aim to provide financial assistance to the poor people during their later stage of life. More than 5000 members are covered under this scheme. The beneficiaries are workers who are excluded from PF and CPF benefits in the unorganized sector. Construction workers, Anganwadi workers, weavers, fishermen, dairy workers etc. are covered under this scheme.

Samhita Microfinance Location

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

Head office Address

Samhita Community Development Services

G2/268 Gulmohar Colony

Bawadian Kala, Shahapura

Bhopal

Madya Pradesh 462039

India

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

Grievance Redressal Mechanism at Samhita Microfinance

Samhita 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.

For micro credit and micro insurance queries and grievances, the customers can contact at community(dot)relations(at)samhita(dot)co(dot)in and for micro pensions, the mail id to be contacted is pension(at)samhita(dot)co(dot)in.

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 Samhita Microfinance

Samhita is a Non-Banking Financial Corporation (NBFC – MFI) based out of Bhopal. Focussing on women empowerment and upliftment of lives of poor people, Samhita provides micro credit, pension and insurance services.

Frequently Asked Questions About Samhita Microfinance

1. Who can avail credit from Samhita Microfinance?

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

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

Samhita 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 Samhita Microfinance?

The loan amount is disbursed as per the scheme and repaying capacity of the borrower. Generally on the loan product 49,850 is provided in INR from Samhita Finance

4. Are there insurance benefits for availing Samhita Microfinance?

Yes, you can get insurance benefits as long as you repay the loan amount.