National Rural Livelyhood Mission (NRLM) | The Assam Co-operative Apex Bank Ltd. (ACAB)

About National Rural Livelyhood Mission (NRLM)

NRLM is a flagship program of Govt. Of India for promoting poverty reduction through building strong institutions of the poor, particularly women, and enabling these institutions to access a range of financial services. A woman’s self-help group, coming together on the basis of mutual affinity is the primary building block of the NRLM community institutional design.

General Features of NRLM

Women SHGs under NRLM consist of 10-15 persons. In case of special SHGs I.e groups in the difficult areas, groups will disabld persons formed in remote tribal areas, this number may be a minimum of 5 persons.
SHGs under NRLM are informal groups and registration under any Societies Act, State Co-operative Act or a partnership firm is not mandatory. However, Federations of SHGs formed at village level, cluster level and at higher levels are to be registered under appropriate acts prevailing in their states.
NRLM has a provision for Interest Subvention, to cover the difference between the lending Rate of the Banks and 7% on the credit availed by NRLM groups, for a maximum of Rs 3,00,000/- per SHG.
In case of NRLM SB A/cs, Know Your Customer (KYC) verification of only the office bearers shall suffice for opening of SB A/cs
Bank will not insist on Permanent Account Number (PAN) of SHGs at the time of opening of A/c or transactions and may accept declaration in Form No. 60 as may be required.
Loan amount ranges from Rs initial 1 Lac to 10 Lacs.
Repayment schedule varies from 1 year to 6 years depending on loan quantum.
No collateral is charged against NRLM loan.