To “Bank” or not to “Bank”
on The Banks…
However, a large segment of people still enjoy greater benefits, not with banks, but within their social groups by lending and borrowing between themselves. And did you know, that they have been doing it for over 7 centuries, since the time there weren’t any banks! The amount of money that gets pooled up in India exceed Rs. 4,00,000 crores today.
- Zero Documentation: Absolutely No paperwork is required to get loans. Its purely based on peoples Trust amongst each other.
- Disciplined Saving: Involvement in a group exhorts people to set and meet their savings goal.
- Trusted Financial Community: People form their financially trusted groups, which they can leverage upon in times of contingent needs.
- Dual Benefit: A powerful borrowing cum savings instrument
- Loans at a cheaper rate: The borrowing rate is determined by the participants and not any external agency. Usually the rate can be much lower than the banks
- Higher Yield: Higher returns on contributions as compared to Fixed Deposits or Recurring Deposits
So we decided to build a unique product that would enable people to form trusted communities on the mobile.