LOAN
The aim of the society is to provide self employment to youth in particularly to mohyals and to augment the resources of weaker section of the society by providing them loan at low rates of interest and save them from clutches of money lenders. The following types of loans are provided by the society.
1) ORDINARY LOAN
1. Member is eligible to apply for loan after one month of approval of the membership.
2. All loans are granted within the maximum credit limit (MCL) of a member i.e. maximum up-to RS 200000/-. MCL of a member is worked out as, ten times the paid up share capital or 8 times of the monthly income of the member, whichever is less.
3. That is if someone has purchased 75 shares worth RS 7500/-, the 10 times of his share money becomes RS 75000/- and his income is RS 5000/- per month, then 8 times of his salary becomes RS 40000/-. Therefore his MCL will be RS 40000/- not RS75000/- as the first one is lesser than second.
4. Rate of interest on loan is 13.20% p.a and the loan can be repaid on easy monthly installments. Maximum permissible numbers of installments are 60.
5. Issue of loans will be made in accordance with the Bye-Laws Nos 34 & 35.
6. Loans are issued to members on the basis of first come first served (in case of waiting list), Members have to submit their forms complete in all respect, well in advance, so that he/she will get the loan in time.
7. Members have to enclose their latest salary certificate from the competent authority, proof of residential address and a latest passport size photo along with the application for loan (if not submitted earlier).
8. Loan application scrutinized by the M.C. in their meetings. Issue of loans will be made only after passing of the same by the M.C. At present loans are issued on Saturday between 10.00 A.M. to 5.00 P.M. Loanee should be present himself/herself at the time of disbursement of loan. If any other formality is incomplete, before disbursement of loan, it has to be complied with
9. In case of concealment of facts or submission of fraudulent record/proof, loan application shall be rejected.
10. Notices shall be issued to the loanee, sureties and employers on default of loan repayment installments. Arbitration cases are processed on default of more than 6 months. All expenses in connection with the arbitration proceedings as well as preparation charges will be recovered from the loanee/sureties/employers.
11. The loans are repayable in monthly installments mentioned below:-
| Amount of Loan | No. of Installments |
| UPTO RS 50000/- | 40 |
| RS 50001 to RS 100000/- | 50 |
| RS 100001 to RS 200000/- | 60 |
12. The rate of Loan will be 13.20 p.a. if loanee is not paying his installments in time penal interest @3% will be charged.
Sureties for Loan:-
| a) | For Loan upto RS 20000/- | One surety (if deposits are less than RS 20000/-) |
| b) | For Loan upto RS 50000/- | One surety |
| c) | For Loan upto RS 100000/- | Two Sureties |
| d) | For Loan upto RS 150000/- | Three Sureties |
| e) | For Loan upto RS 200000/- | Four Sureties |
2) EMERGENCY LOAN
The President, Secretary & Treasurer of the society have the power to grant emergency loans upto 20000/- which shall be refunded within 10 months together with interest as applicable, per annum. If a loanee do not pay his installments within the period, 3% additional (penal) interest will be charged.
3) LOAN AGAINST FIXED DEPOSIT
Loan against fixed deposit up-to 90% at 2% extra rate of interest are granted at discretion of M.C. irrespective of member's maximum credit limit (MCL)
4) LOAN AGAINST NATIONAL SAVING CERTIFICATE
Special loan irrespective of a member maximum credit limit may be granted at discretion of the Managing Committee of the society to any member by mortgaging the National Saving Certificates to extent of 80% of the value of N.S.C subject to the maximum 50000/- The loan will be repaid in 25 installments or before the date of maturity of N.S.C. whichever is earlier. In case of loan against N.S.C. the borrower member will have to produce a letter duly certified from the post office from where the particular N.S.C have been issued that no duplicate certificate will be issued against these N.S.C. till loan taken from this society against these N.S.C. have been fully repaid by the borrowing member concerned and also a certificate from issuing post office that in case the borrowing member fails to repay the amount of loan taken against N.S.C. the society would be entitled to encash the N.S.C. immediately after the maturity of the same. The rate of interest on these loans would be at the rate of 13% p.a. or rate to be fixed by the committee with the previous sanction of general body.
Confirm the balance in your accounts as on 31st March,
On or before 30th September every year. In absence of any information, balance as shown in the society records will be treated as correct and confirmed. Thereafter no claim will be entertained.