How Microfinance bank supports women

Microfinance banks are also called as financial institutions that provide monetary support to low-income groups and individuals in mostly rural parts of India who are unable to access normal banking services. These banks focus on providing financial services, typically under 1 lakh, to women without any collateral and help them if they have limited or unstable income. Chaitanya is a microfinance company in Tamilnadu that empowers women in rural areas to become financially independent and also supports them with their entrepreneurial dreams.

We Provide

Group Lending for women

Our primary goal is to empower women who belong to rural parts of India by supporting them if they want to start a business. This way, they don’t have to depend on any family member for financial assistance. We offer microfinance loans to women and help them in their journey out of poverty. We form a joint liability group by checking the borrower profiles, repayment history (if any), end use of loan and other factors before loan disbursement.

Retail Loans

Retail loan in microfinancing means, offering small loans to people, typically women who need help with personal, household, and even for business purposes. Sometimes these individuals require a separate loan for various reasons, and that is why Chaitanya offers retail loans to individuals because group lending model does not always work. We offer a higher amount in retail loans compared to group lending to help women in overcoming their housing, education, and also agricultural requirements.

How Microfinance lending works

Chaitanya offers financial services to women in the rural parts of india who do not have a stable source of income and if they are not able to access financial services from a traditional bank. We first form a joint liability group and provide trainings for our potential clients. After a quality check is done, we disburse the loan and collect it on a weekly, biweekly, or monthly basis. We have helped more than 1 million women to empower them.

Benefits of our services

  • Microfinancing helps women in rural areas overcome poverty.
  • Low-income families are generating income from their businesses.
  • It raises women’s social status so they can take more decisions.
  • Women are becoming financially independent through microfinance services.
  • It offers educational opportunities for girl children in low-income families.
  • Microfinance builds credit history and makes it easier to access larger loans.

Frequently Asked Questions

Microfinance has advantages like collateral-free loans, weekly, biweekly or monthly payments, simple application process, financial literacy training, and support for small businesses.

As a microfinance company in Tamilnadu, our aim is to empower women by making them financially independent and increasing their economic status so they can take more decisions.