Current Loan Products:
Nerude has replicated the Grameen Bank financial System. Its current loan products are designed for income generating activities (IGAs). Since the target groups are poorest of the poor, the loan amount is usually small. To fulfill the client's needs it has at present nine loan products without collateral and one with collateral. The loan products (without collateral and Collateral Loan) are:
Without Collateral Loan
a. General Loan b. Livestock Loan c. Business Loan
a. General Loan
After completion of the compulsory group training and group recognition test clients are eligible to take of IGAs, and can submit loan application in the center. This loan is accessible to clients with good repayment performance in the following sequence.
b. Livestock Loan
As per the maximum requirement of field and its client, Nerude has designed this loan portfolio for new and old members. As the most of the poor people of our society have been engaged on one of the easiest occupation i.e. agricultural and husbandry none commercially. But the main focus of this loan is to promote these occupations commercially with new method. We have made compulsory of insurance on this loan product for that we have had an agreement with Deposit & Credit guarantee corporation Ltd. due to that the loan of its clients on this purpose can be secured not only for clients but for Nerude also.
c. Business Loan
This loan can be given to skilled entrepreneurs. The loan size would be up to Rs. 60,000 for first year member and up to Rs. 1,00,000 for second year & Maximum Rs. 2,00,000. The duration, installment and interest rate is same as general loan.
2. Seasonal Loan
This loan is specially used for purchasing and selling of vegetables, paddy, wheat etc.
3. Special Loan
after completion of the 2nd year of loan cycle this loan given to Discipline member.
4. Social Loan
a. Water loan b. Toilet loan c. Home loan d. Tv e. Freezz f. Computer
5.Alternative Energy Loan
a. Solar, Inverter, Battery Loan b. Bio-Gas Loan
a. Solar, Inverter, Battery Loan
This Loan is basically provided for an Installation Solar, inverter battery in House. The loan size ranges up to to Rs. 25,000. It has become a boon for many houses that can light their house in the dark.
b. Bio-Gas Loan
This loan can be given to second year's member to construct bio-Gas project. Bank offers this loan to those clients who have livestock. The loan can be given without collateral.
a) Micro Business Loan
Nerude provides this loan to its First Year member and who are willing to extend their business. This is collateral based loan.
b) Foreign Employment Loan
This loan is used for the family member of the client to go abroad for foreign employment. Bank offers this loan to those clients who have completed third year loan cycle with good repayment performance. This is collateral based loan.
c) Education Loan
This loan is used for the children of the client to study and get degree of technical and vocational education. Bank offers this loan to those clients who have utilized General loan with good repayment performance. This is collateral based loan.
d) House Loan
This loan is used for This is collateral based loan.
a) Interest Rate is 18% for General, Seasonal, Special and Social Loan.
b) Interest Rate is (16-18)% for Alternative Energy Loan.
c) Interest Rate is 18% for Micro Business, Foreign Employment, Education and House Loan.
d)1% services charge will be charged above Rs. 20,000 loan.