Key Benefits Of Chits

1. is a unique indigenous and highly beneficial instrument.
2. Chit funds have been playing a stellar role in giving access to such credit for almost every person who has no access to formal financial systems like Banks, NBFCs, and many others.
3. It’s an excellent source of funding for a wide range of individuals, from small investors to business owners.
4. Chit funds work on the fundamental principle of trust. This trust is built by assessing the socio-economic status of the person gauzed by his peer network.
5. Chit fund is more accessible to the subscribers and makes it easy for them to borrow by providing some minimum guarantees (to protect the interest of the other members in the group) from their peer and social network.