If you want to start a finance business by taking deposits and providing loans like a bank without RBI Approval, the only solution is “Nidhi Company”.
If you want to start a finance business by taking deposits and providing loans like a bank without RBI Approval, the only solution is “Nidhi Company”.
Nidhi Company is a mutual benefit society, registered under section 406 of the Nidhi Company Companies Acts, 2013 which is operated through its members. Under Nidhi Company you can take deposits from members and serve with secured loans with an attractive rate of Interest.
Nidhi Company is a profit-making company that earns interest on the loan from its members. The Rate of Interest on loans under Nidhi can go up to 19.5% p.a. The Members apart from loan facilities under Nidhi company can open savings a/c, make deposits, monthly income saving scheme, etc. with a most attractive rate, which can boost up to 12% p.a.
Registration of Nidhi Companies can be easily done with Vakilkaro with legal expertise. It is a totally online process, which started with seven(7) Natural persons. The Ministry Of Corporate Affairs(MCA) has given the power to the Registrar of Companies (ROC) to issue the License of Nidhi Companies, which takes 7 days estimated. Vakilkaro has legal expertise in Registration, Legal Compliance, Loan Agreement Drafting, and Loan Recoveries of Nidhi Companies as well as Finance Companies like NBFC.
Nidhi Companies can be started with a minimum capital of Rs. 5 lakh which is very less in comparison to NBFCs. The amount of capital has to be deposited to the current a/c of the newly incorporated Nidhi company within 180 days from the date of Incorporation.
Nidhi Companies apart from loans can provide the facilities of Deposits (F.D., R.D., M.I.S.,) and opening of saving accounts of its members. Nidhi Companies can also issue a copy of the passbook to its members who have opened the saving account with it.
Nidhi Companies has the legal power to provide the loan to its members up to Rs. 2 lakh when the deposit is up to Rs. 12.5 lakh and this loan limit can be increased when the deposits have increased.
PAN CARD of 7 persons is mandatorily required and in case of the foreign national valid passport also requires.
Any proof of identity like Adhaar Card/ voter id card/driving license of all 7 persons is mandatorily required.
The client has to be provided at least two Company names to apply for name approval.
All the 7 persons must have their photos, mobile numbers, valid emails, and latest bank statements (must not be older than 2 months).
The client has to provide Office Address proof like Rent Agreement/Property papers with the latest electricity bill.
Nidhi company can provide only secured loans for example – gold loan, loan against property, loan against certificate deposits.
Yes, as per the provision of the law. It is mandatory write down the word” Nidhi Limited” at the end of the company.
An Individual natural person can become a member of company who have attained his/her age of 18 years and have valid PAN. No any artificial person like any company, firm, trust, society is eligible to become a member.
Nidhi Company is registered for its members only, therefore only members can apply for the loan as well for deposits.
No, as per Nidhi Rules, 2014 Vehicle Loans are totally prohibited whether in the forms of Bike Loans or otherwise.
Yes but after completion of 3 years with continuous profits in three years.
No, as per Nidhi Rules,2014, Deposits under Nidhi Company can be used only for lending money to its members.
Jaipur Office
Haryana Office
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+91 9828123489
+91 9828123489
help@vakilkaro.co.in
Starts With Minimum Capital of Rs. 5 lakh
Can take Deposits & Open Saving Accounts
Power to provide Loan up to Rs. 2 Lakh or more
+91 9828123489
help@vakilkaro.co.in