Yvu Financial Services Microfinance

YVU Financial Services

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, YVU Financial Services 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 YVU Financial services

• 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

YVU Financial Services Products and Services

YVU Financial Services provides to poor women the following products and services.

Income Generation Loan – Group

This is a group loan given to group of 7 to 30 women members who carry out small business activities, petty trade, vegetables vendor etc. for financing diverse business needs such as capital equipment. The loan size of Rs. 5,000 to Rs. 60,000 where for the first cycle Rs. 35,000 is the maximum amount. Interest rate 24% p.a. calculated on reducing balance basis and a processing fee of 1% of the loan amount plus GST. Insurance coverage of 0.50% of the sum assured amount plus GST for loan will be added. The loan tenure varies between 12 to 24 months.

Income Generation Loan – Individual

This loan is provided to individuals who are falling under the micro-entrepreneur category. These loans are specially designed to cater to the customer’s needs to fund for working capital or fixed assets for the purpose of improving their business.

The loan size can be between Rs. 5,000 to Rs. 1,00,000 but in the first cycle a customer can only borrow Rs. 60,000. The interest rate is 24% p.a at reducing balance with processing fee of 1% of the loan amount with GST. An insurance coverage of 0.50% of the sum assured amount plus GST for loan will also be charged. The loan tenure will vary between 12 to 24 months.

Consumption Loan

This loan is given to individuals for personal and emergency purposes like hospitalization, house repairing, children education etc. Such facilities are given to clients who have good credit history with YVU Financial. The loan size varies between Rs. 5,000 to Rs. 50,000 at an interest rate of 24% p.a. with processing fee of 1% of the loan amount plus GST with loan tenure of 12 to 24 months.

Eligibility Criteria for YVU Financial Services

Following are the eligibility criteria to get micro credit from YVU Financial services

• Should be women between 18 to 55 years of age
• Should be a Permanent resident of a village or slum
• Should be a joint liability group

YVU Financial Services Location

To apply for a loan with YVU Financial Services, you can contact them at their branches or the head office located in Manipur.

Head office Address

YVU Financial Services Pvt. Ltd.

Waiview Bhavan,

Thoubal Wangmataba, Thoubal,

Manipur - 795138

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

Grievance Redressal Mechanism at YVU Financial Services

YVU Financial Services 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 helpline number +91 385 2442931 for registering any complaint or grievances. Following steps can be followed in registering your compliant with the company.

Level 1: Complaint Box

Every Branch office of the company has Complaint or feedback box. You may drop your written complaint or feedback in the box.

Level 2: Branch Manager

If your issue is not solved or if you are not happy with the response given please contact the Branch Manager at the respective branch or you can call him/her at the Branch Manager's mobile number provided on the loan card (loan passbook) between 9 am to 5 pm on week days

Level 3: Grievance Redressal Officer

If you are not satisfied with the response received from the branch or if you don't receive a response in 7 working days, please call our Grievance Redressal Officer (GRO) available on the phone to register your complaints between 9 am to 5 pm on week days

E-mail:contact(at)yvu(dot)co(dot)in

Level 4: DNBS, Reserve Bank of India

If you are not satisfied with the response received from the GRO or if you don't receive a response in 10 working days, you may contact the Reserve Bank of India at the following address:

Department of Non-Banking Supervision

Reserve Bank of India,

Pan Bazar, Station Road,

Guwahati – 781 001

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 YVU Financial Services

YVU Financial Services is a Non-Banking Financial Corporation (NBFC – MFI) based out of Manipur. It was the first company in Manipur to receive its license from RBI. YVU started providing microfinance services in 1996. It provides micro credit and other financial services in the state of Manipur and Assam of India to the people who are otherwise unable to access finance from the mainstream financial system.

Frequently Asked Questions About YVU Financial Services

1. Who can avail credit from YVU Financial Services?

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

2. For what purposes the micro credit is offered by YVU Financial Services?

YVU Financial Services 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 YVU Financial Services?

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

4. Are there insurance benefits for availing YVU Financial Services?

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

5. Does YVU Financial Services provide micro credit only for women borrowers?

Yes, the micro credit is provided only for women as they have less chance of availing financial assistance from established financial institutions.