Chikmagalur Kodagu Grameena Bank – Financing Self Help Groups

By | June 30, 2011

Chikmagalur Kodagu Grameena Bank was established in the year of 1984 under the RRB Act1976. The Bank is named after the Districts Chikmagalur and Kodagu where the operational network is spread. The Bank is sponsored by the Corporation Bank a premier public sector Bank. The Bank has its Head Office at Chikmagalur, Karnataka State.

The bank offers home loan, personal loan, vehicle loan, agricultural loan, business loan, educational loans etc.

Purpose The loan is offered for consumption – Personal guarantee of group members by interest agreement

Eligibility Group should have account with our bank at least for 6 months; Group should be graded as per the grading norms.

Loan Amount –           As per norms

Security –           For consumption – Personal guarantee of group members by agreement

For Economic Activity – Assets purchased out of Bank finance in addition to the personal guarantee of group members. For loan amount up to Rs.5.00 lakhs of project cost; Above Rs.5.00 lakhs collateral security /additional security in addition to the above securities.

Margin –           Nil for consumption 5 % if the amount exceeds 5 lakhs

Rate of Interest 9% for loans up to Rs.50000/- ; above 50000/- 11% or as per the guidelines issued from time to time.

Repayment                – 2 to 5 years in monthly/quarterly/half yearly/yearly installment depending on the type of activity of the group

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About Pradeep Yuvaraj

Pradeep Yuvaraj is a Co-Founder and Director at Finerva Financial Solutions Private Limited, a financial education company focused on personal finance education. He has penned over 250 articles relating to Personal Finance and clocked over 500 hours of educating individuals on managing personal finance. He is a serial entrepreneur and has been associated with 7 Start-ups. His entrepreneurial experience spans industries as varied as Education, Gas Engineering, Automobile Design, Software development and more recently a Pure play presentation design company. Prior to turning entrepreneur in 2005, he has worked for 3 of the top ten companies of the world - Shell, ExxonMobil and Total SA. This experience included handling Branch Operations, Channel Sales and Business Development across 5 states over a period of 8 years. He holds an MBA from Symbiosis and an Electronics Engineering Degree from the University of Pune.

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