The major terms and conditions of the loan products offered by Equitas are given below

1. Women Members: All JLGs shall be formed comprising of poor women in rural and urban areas and within the boundary of the branch offices.

2. KYC Documentation: As per the KYC Policy of the Company, all members have to provide copies of Ration Card and photo Identity Card for availing the loan products of the Company.

3. Membership Size: The membership of the each JLG shall be 5. The minimum number of members in a centre is 10 and the maximum number of members shall not exceed 30.

4. Centre Meeting: The centre meeting of the JLGs will be facilitated by Equitas staff where the installment amount will to be collected by Equitas staff.

5. Joint Liability: The members of each group cross guarantee the loans borrowed by the other members in the same group.

6. Borrowings from other MFIs: MFIN has partnered with High Mark Credit Information Services Pvt Ltd to establish an MFI-specific credit bureau. The High Mark credit report and Sales Officer’s declaration will be the basis for determining an applicant’s exposure to other MFIs. The applicant should not have any live loans at more than 1 other MFI.

7. Loan Disbursement: All loans are disbursed at the Equitas Branch Offices. After identifying the borrowers with their photograph identity cards in the presence of their Centre Leader, the loans are disbursed by cash.

8. Borrowers shall come in person: At the time of loan disbursement, all members who have applied for loan shall compulsorily be present at the Equitas Branch Office, for receiving the loan amount.

9. Passbooks: A passbook will be issued to the each member detailing the amount of loan, date of installment, principal and interest amounts payable till the completion of loan account, rate of interest and insurance charges.

10. Duration of Loan: The duration of loan will be as per the loan product availed by the customer.

11. Income Generation Program Purposes only: Equitas sanctions micro finance loans only for supporting and enabling the members for undertaking the Income Generation activities.

12. Repayment at Centre Meetings: All the members shall repay the loan only at respective centre meetings. Receipt (Collection Sticker) will be issued by the Relationship Officer to the members.

13. Utilization of Loan Funds: The assets purchased / created if any, would be verified by the field risk officer on a random basis.

This model is based on the Joint Group Liability. The collateral is social i.e. the members of the group together assure the repayment of the loans.

• ID/Address proof: Voter ID card / Bank passbook copy / ration card / gas bill etc.

• Photo of self and husband/nominee

• Membership application form

• Loan application & sanction form

• Demand promissory note

• Loan passbook