Our SHG
These groups have a range of purpose. Often the members organize the group themselves. The main purpose is to provide financial help to the members.
Self - help group goals:
Individuals come to self help groups with personal goals - perhaps to seek relief from an addition, to gain self confidence etc. One of the goals of any self - help group is to assist its members. A self - help group vary in duration and in breadth.
Benefits of self - help group:
Certain benefits of self - help group are -
- Empathy of people who are living with the same problem.
- Distinetive effects of a group of people all of whom are in the same boat.
- Skills and attributes of professional group workers.
- Lay group participants who focus on the strengths of group members and seek out the highlight the pathological.
- The judgmental and demanding attributes of one another lead the group with defining experience.
- Since self - help groups often need some level of professional assistance to help them survive, these groups can move towards self - lead status.
- The way the group is going to conduct itself is a key to its success.
- The group offers unique opportunity for members to develop their potential.
Rules and regulations of SHGs
- The member should be with idential attitudes and poor.
- Between 18-50 age group.
- 10-20 members in a group.
- Punctuality.
- Member should attend the meeting regularly.
- Fine should be collected from the absentees without prior intimation.
- The membership will be cancelled for absenting continuously three times for the meeting.
- The member who leaves the group in between will get only the saving money.
- Each member should be regular in paying the deposite.
- 2/3 majority is required to the eligible to receive loan. Only for good purpose the loan is given with guarantors.
- The loan and the interest should be paid back regularly.
- In case of existing regulor loan, a second loan can be sanctioned in emergency case with the permission of all the members.
- After auditing, the accounts should be presented in the meeting.
- The executive members should be changed every year.
- Elected members as well as members should attend the training compulsorily.
- Nomination will be available for all the members.
- One member from the family can be a member of the group.
- Every year the planning and evaluation to be done of the group.
- Shramadana should be done for the development of the village.
- Group should maintain good relationship with government and other agencies.
Duties and responsibilities of the members of the group:
- Obtaining the membership according to the rules of the group.
- Attending the meeting punctually.
- Abiding the rules and regulations.
- Maintaining cooperation.
- Participating in the group discussion.
- Keeping in mind about the welfare of the group.
- Seeking information of all the activities of the group.
- Taking creative and descriptive part in the repayment of the loan.
- Participating in the programmes of the group.
- Preserving the objects of the group.
- Conducting programmes on building up of cooperation.
- Attending the training programmes of the group.
- Checking the account books of the group.
- Having full knowledge of transaction of money.
- Participating in the welfare programmes of the village.
- Distributing responsibilities.
- Discoursing the financial matters during the group meetings only.
- Solving each other problems.
Characteristics of Self-Help Group:
SHGS are mostly informal groups where members pool savings and lend to the needy members on a rotational basis. The groups have a common perception of need and meet the same by collective action. Since the funds generated is low due to low savings capacities, the financial need are supplemented by external resources like loans/donations by NGOs. Thus, SHGs have been able to provide primitive banking service to its members that are cost-effective, flexible and without defaults. Based on local requirements, SHGs have evolve their own characteristics of functioning.
Group members usually create a common fund by contributing their small savings on a regular basis.
- Groups evolve flexible systems of working and manage pooled resource indemocratic way.
- Loan requests are considered by groups in periodic meeting.
- Loans are given mainly on the trust with minimum documentation and without any security.
- The loan amounts are small, frequent, for short duration and are mainly for unconventional purposes.
- The rates of interest vary from group to group and the purpose of loan. It is Higher than that of Bank but lower than money lenders.
- At periodic meetings, besides colleting money, social and economic issues are also discussed.
- Defaults are rare due to group pressure and intimate knowledge of the end use of credit.
Basically there are three types of SHGs that are being considered for formal linkage with banks.
- SHGs set up by banks.
- SHGs set up by voluntary organizations.
- SHGs set up by the state governments and the cooperative system.
