Here is the descriptive information about the Self Help Groups and Joint Liability Groups.

1. SHG’s & JLG’s Group Delivery Models

2. . 10-15 local women.

3. SHG’s Small regular savings over a few months until there is enough capital in the group to begin lending. Funds may then be lent back to the members or to others in the village for any purpose. Group of micro entrepreneurs having homogenous social and economic backgrounds, voluntarily coming together to save regular small sums of money, mutually agreeing to contribute to a common fund and to meet their emergency needs on the basis of mutual help.

5. NGO helps the SHG members in filling up the forms and other formalities w.r.t. the bank for getting loan from the bank.

6. NGO generally provides training to the SHG members for 6 months so that they can handle all these things themselves.

8. Weekly group meetings

9. Leader elected by group members

10. Small and regular savings

11. Group has a savings bank account operated by group representative

12. Internal lending to members from own savings

13. External loan to the Group as a whole

15. 40 member centres

16. Weekly group meetings

17. Established methodology for

18. Group recognition

19. Client screening

20. Loan sanctioning

21. Collections

22. Collections enforced through

23. Joint liability

24. Peer pressure

26. ASSCOD- SHG model

27. Roshan Vikas- Cooperative model

28. Karuna Trust- SHG model

29. Pragati- SHG model

30. Hope IRDS(AP)- SHG (JLG)

31. Pragati- SHG model

33. BMSKSS- SHG model

34. GMASS, Karnataka- SHG model

35. New Life- SHG model

36. Udyogini- SHG model

38. . 1st day training The field staff will meet the potential members at the decided date and time for the first get-together. Introduction about the organization and about its hierarchy. Then decides the time and date for the next meeting. 2nd day training At the 2nd get-together field staff will train the members in the aspects of Group and centre structure along with sitting mode and Importance of meetings 3rd day training At the third get-together the field staff will administer the training on rules and regulations and fee and product details. 4th day training At the 4th get-together the field staff will conduct House (or) Business unit verification {Random-base}

39. . Group Appraisal Test - Interacting with members by asking questions related to: Member Income sources Member involvement in Income Generative Programs Member qualifications Member role as part of group Group structure Group Leader Role in minimizing risk Centre Structure Centre Leader Role in recovery problems Attendance importance Members’ knowledge about organization and its products & services etc. Rules and regulations of the organization.

40. . Group means: Combination of 5 individual Women members who are performing as a unit and passed in the GAT. If a group is passed in the GAT then only they will be eligible for receiving the loans. Responsibilities of the group: The group members will elect one group leader (it is purely group choice) Selected Group Members must belong to one area. The members may belong to one area, but may be involved in different activities and trades subject to the condition that they should not involve in illegal & immoral activities or trades. As loan will be given to all the members at a time group will have joint liability regarding loan. All members in the group are liable to each other. All the members should sign as a counter guarantee to all. In case of any members payment is ‘delayed or due’, rest of the group members are liable for that payment. In case of any member drop out from the group voluntarily or by rule, the group should take a new member into the group.

41. . Center Means: It’s a combination of 3-4 groups. Every week all the groups will meet at a fixed place for MF activities conducted by the Field staff. Responsibilities of the Centre The centre members will elect center leader (it is purely members choice) They must reside in the same area. The members may belong to one area, but may be involved in different activities and trades As loan will be given to all the members at a time all the members will have joint liability regarding loan. All members of the centre are liable to each other. All the members should sign as a counter guarantee to all. In case of any members payment is ‘delayed or due’, rest of the centre members are liable for that payment. In case of any member drop out from the group voluntarily or by force, the centre can take a new member into the group.

43. Conducting preliminary survey (ensuring potentiality, financial landscaping)

44. Conducting general meetings (briefing about the organization and credit policy)

46. .

47. . Rules for formation of SHG : The number of members should between 10-20 Only one member per family to be covered in the SHG Weekly meeting on a fixed day & time should be made compulsory All the transactions & discussions should be done in the meeting only For the first 3 months emphasis should be on regularly of meeting, 100% participation, regular saving & regular deposit in the bank Between 3-6 months a SHG concept training has to be arranged for all the members Participation of bank officials in the SHG meeting at least once in 3 months is essential for maintaining the quality of SHG

48. Difference

49. . Weaknesses of SHG model - Need management skills - can be hijacked internally or externally - cash may not be secure, if savings are held within the group Advantage of financing through these groups - An economically poor individual gains strength as a part of a group. -Reduces transaction cost for both lenders and borrowers.

50. . Thank you