Operational Area

System and Procedure

Gruhalaxmi follows a very stringent systems and procedures for its credit delivery operations. The Cooperative is having a well-defined bylaw and a well narrated credit policy which guides the institution in managing its credit delivery mechanism. The entire portfolio of the Cooperative is being tracked and monitored by a software based MIS system. To support this MIS software required forms and formats are in place.

Credit Policy

Gruhalaxmi is having a comprehensive credit policy which is the yardstick of the Cooperative to manage the portfolio. The staffs of the Cooperative along with the Board of Directorsof Gruhalaxmi sincerely follow this credit policy. Norms with regard to membership, saving, credit, loan eligibility, loan appraisal, membership withdrawal are clearly defined in the policy.

All the loans are extended based on the critical loan appraisal and recommendation of the loan committee of the Cooperative. All the BODs along with Secretary are the members of the loan committee. The loan committee critically reviews the applications and with a consensus among the members it sanctions loan to the Cooperative members. The process followed by the cooperative to extend the loan is described below.

PROCESS OF LOAN EXTENSION
  • 1
    Loan application by the interested members to the concerned SHG
  • 2
    Recommendation by the President and Secretary of the concerned SHG
  • 3
    Appraisal by the Animator and recommendation
  • 4
    Appraisal by the Field Coordinator and recommendation
  • 5
    Comments by the MIS and RLF Coordinator on Past loan behaviour
  • 6
    Review by the Loan Committee of the Cooperative and loan sanction
  • 7
    Release of loan
  • 8
    Verification of utilization of loan
  • 9
    Loan repayment
Forms & Formats

As per the MIS and Accounting system necessary forms and formats are designed in the Cooperative through which the entire portfolio is being tracked. Different forms and formats for different products are being designed as mentioned below:

  • Saving collection receipt
  • Share collection receipt
  • Membership withdrawal Form
  • Loan Application Form
  • Loan Appraisal Form
  • Loan Utilization Form
  • Demand and Promissory Note
  • Money Receipt
  • Invoice Format
  • Challan Receipt
  • Member’s Individual Passbook