The family loan is for spouses and/or children of borrowers who are engaged in small and medium scale businesses and other income generating activities but face liquidity problems, financial insolvency, and do not meet the requirements of obtaining loans from banks. This loan initiates the second circle of the borrower’s loan.
Loan amount | INR 10,000- 30,000 | ||
Tenure/duration | 12 or 24 months, depending upon the repayment ability and the borrower's choice as per RBI directives | ||
Instalments frequency | Weekly | Fortnightly | Monthly |
For tenure/duration of 12 months | 46 instalments | 22 instalments | 11 instalments |
For tenure/duration of 24 months | 106 instalments | 53 instalments | 26 instalments |
Rate of interest | 24.5% until 25 October 2022; 27% (reducing) from 25 October 2022 onwards. The interest range is 23% to 27%. | ||
Processing fee | 2% of the loan amount plus applicable GST | ||
Admin fee | 0.6% of the loan amount plus applicable GST | ||
Insurance / loan processing fees | INR 4.50 for per INR 1,000 per year plus applicable GST | ||
Admission fee | NRs 25 inclusive of GST | ||
Security deposit | NIL | ||
Penalty for late payment | 2% on the overdue amount plus applicable GST | ||