board member area

The Village Survey
Projection Meetings
Formation of Groups & Sangams
Compulsory Group Training (CGT)
How Are Loans Disbursed?
Evaluations of Loan Utilization

Once a group is formed, members participate in a one-week Compulsory Group Training (CGT) during which they are introduced to SKS' loan products and procedures. In addition, members receive numeracy and signature skills training, learn the importance of savings and collective responsibility, elect group leaders, and recite a pledge or padam which serves as an verbal contract between SKS and its members. This padam is repeated at the commencement and conclusion of each sangam meeting to serve as a reinforcement of the commitment that members have made to carry out their fiscal responsibilities to SKS and to each other.

The CGT consists of seven daily hour-long sessions, typically held in the evening, and is designed to inculcate strict credit discipline among the groups. Strict credit discipline does not exist naturally; rather it must be nurtured and maintained to ensure the following:

  • Members and staff clearly understand their responsibilities and execute them accordingly.
  • Members and staff regularly and punctually attend weekly sangam (center) meetings and other sangam activities.
  • Sangam meetings are conducted in an orderly and professional manner with group and sangam leaders carrying out their respective duties.
  • Loan disbursements are carefully determined according to loan activities and ability to repay.
  • Loan are disbursed in an accurate and timely manner.
  • Loans are used for approved activities only, as verified through periodic loan utilization reviews conducted by sangam leaders and SKS staff.
  • Repayment of loans, both the principal and interest, is on time and in full.
  • Surplus income is used for the improvement of the standard of living for the member's family as a whole.

On day seven of the CGT, members must pass a Group Recognition Test (GRT) to be formally accepted into SKS' loan program. The GRT tests members' skills in the areas of Group Structure, Group Fund, Loan Proposal, Loan Disbursement, Loan Repayment and Sangam Procedures.

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