There is a new chit group starting up. The value of the chit is 3,00,000. This is referred to as the Chit Value.
For example, we will assume that the duration of chit 30 months. For the chit group, this is known as term period.
Monthly subscription is generally calculated by dividing the Chit value with the number of persons in the group.
The Subscription amoumt varies month to month.
The people who are interested in investing in the chit group are known as Subscribers.
A chit auction is a process in which participants bid for the right to access the funds collected through a chit fund.
Chit dividend refers to the profit or return earned by participants in a chit fund.
The duration of the chits are 25 months and 30 months respectively.
Joining a government registered chit fund company assures investors of regulatory protection, security, reliability, trust, financial inclusion, and efficient dispute resolution.