Women members of a self-dependent credit cooperative society in Indore take loans from the society to support the education of their children and pay interest on the borrowed amount. To reduce the burden of such loans, a savings scheme was introduced in 2011. Under this scheme, members are encouraged to save regularly so that they can avail themselves of loans against their savings. Members can obtain loans up to 75% of their total savings. The loan is provided at an interest rate that is 2% higher than the interest earned on their savings. This scheme helps members build a substantial fund for educational purposes while minimizing their dependence on external borrowing.
