Microfinance program

Section 8 Microfinance

Empowering Communities Through Responsible Microfinance

Prothom Foundation's Section 8 Microfinance program provides affordable credit and financial services to the unbanked and underserved communities of Assam.

12,000+Active Borrowers
₹8 Cr+Loans Disbursed
850+SHGs Formed
98%Repayment Rate
Women SHG meeting

Section 8 Company · Not-for-Profit · RBI Registered

About the Program

What is Section 8 Microfinance?

Prothom Foundation operates its microfinance activities under Section 8 of the Companies Act, 2013 — a not-for-profit company structure that allows us to provide financial services to the poor without the profit motive that drives conventional lenders.

Our microfinance program focuses on Self Help Groups (SHGs), Joint Liability Groups (JLGs), and individual borrowers in rural and semi-urban areas of Assam. We provide small, collateral-free loans to help families start or expand micro-enterprises, improve housing, fund education, and meet emergency needs.

All lending is conducted with full transparency, fair interest rates, and a strong emphasis on financial literacy — ensuring that borrowers are empowered, not burdened.

Loan Products

Financial products designed for you

Collateral-free loans with fair rates, flexible tenures, and doorstep service

Income Generation Loan

Income Generation Loan

For micro-entrepreneurs to start or expand small businesses — tailoring, grocery shops, livestock, handicrafts, and more.

Loan Amount

₹10,000 – ₹1,00,000

Tenure

12 – 24 months

Interest Rate

18% p.a. (reducing)

Agriculture & Livelihood Loan

Agriculture & Livelihood Loan

Seasonal credit for farmers and agricultural laborers to purchase seeds, fertilizers, equipment, and livestock.

Loan Amount

₹15,000 – ₹75,000

Tenure

6 – 18 months

Interest Rate

16% p.a. (reducing)

Housing Improvement Loan

Housing Improvement Loan

Affordable credit for rural families to repair, renovate, or construct pucca homes and sanitation facilities.

Loan Amount

₹25,000 – ₹1,50,000

Tenure

24 – 36 months

Interest Rate

15% p.a. (reducing)

Education Loan

Education Loan

Interest-subsidized loans to help families meet school fees, uniforms, books, and vocational training costs.

Loan Amount

₹5,000 – ₹50,000

Tenure

12 – 24 months

Interest Rate

12% p.a. (reducing)

Eligibility

Who Can Apply?

  • Women aged 18–60 years residing in rural or semi-urban areas of Assam
  • Members of a registered Self Help Group (SHG) with at least 6 months of savings history
  • Joint Liability Group (JLG) members with 3–10 co-borrowers
  • Individual borrowers with a verifiable income source and local residence proof
  • No existing overdue loans with any MFI or bank at the time of application
  • Household annual income below ₹3,00,000 (rural) or ₹3,60,000 (urban)
Self Help Groups

Building Strength Through Collective Savings

Our SHG program brings together 10–20 women from the same village to save regularly, build a common fund, and access credit collectively. Each group meets weekly, maintains accounts, and elects its own leadership.

Beyond credit, SHGs become platforms for social change — members discuss health, education, domestic issues, and government schemes. Over 850 SHGs have been formed across Hojai, Nagaon, and Karbi Anglong districts.

SHG group meeting

850+ SHGs active across Hojai, Nagaon, and Karbi Anglong districts

How It Works

From application to disbursement in 6 steps

01

Group Formation

Form or join a Self Help Group or Joint Liability Group in your village with our field officer's guidance.

02

Financial Literacy Training

Attend a mandatory 2-day financial literacy workshop covering savings, credit, and responsible borrowing.

03

Loan Application

Submit your loan application with basic KYC documents — Aadhaar, ration card, and a passport photo.

04

Credit Appraisal

Our field officer visits your home and business to assess repayment capacity and loan purpose.

05

Disbursement

Approved loans are disbursed directly to your bank account or Jan Dhan account within 7 working days.

06

Repayment & Support

Repay in weekly or monthly installments. Our team provides ongoing business mentoring and support.

Success Story

"Before joining the SHG, I had no savings and no way to grow my small tailoring business. Prothom's loan helped me buy two more sewing machines. Today I employ three other women from my village."

Rekha Begum

Rekha Begum

SHG Member, Hojai District

Income Generation Loan — ₹40,000

Digital Repayment

eNACH & UPI Autopay for EMI Collection

Repay your EMIs automatically — no cash, no queues, no missed payments. Register a one-time mandate and your installment is collected on the due date every month.

eNACH

Bank Mandate

Electronic National Automated Clearing House

eNACH is an RBI-approved bank mandate that authorises Prothom Foundation to debit your EMI directly from your savings or Jan Dhan account on the scheduled date. Once registered, no action is needed from you each month.

Works with all major banks — SBI, UCO, Axis, HDFC, PNB, and 100+ others
Mandate registered digitally via Aadhaar OTP or net banking — no paper forms
Debit happens only on the agreed EMI date; no surprise deductions
Mandate can be cancelled anytime by contacting our office

How it works

01

Loan Sanction

Your loan is approved and EMI schedule is shared with you.

02

Mandate Registration

Our field officer helps you register the eNACH mandate via Aadhaar OTP or net banking on your phone.

03

Bank Approval

Your bank approves the mandate within 1–3 working days. You receive an SMS confirmation.

04

Auto-Debit on Due Date

On each EMI date, the exact installment amount is auto-debited. You get an SMS receipt.

Our field officer will assist you with mandate registration at no extra charge.

Register Your Mandate

Frequently Asked Questions

What if my account has insufficient balance on the EMI date?

Can I change my EMI date after mandate registration?

Is my bank account safe? Can Prothom debit any amount?

What if I want to prepay or close the loan early?

Get Started

Ready to apply for a microfinance loan?

Contact your nearest Prothom Foundation field office or fill out our inquiry form. Our team will reach out within 48 hours.

Contact Our Microfinance Team

Call us

+91 3674 254 786

Email us

[email protected]

Field officers available Monday–Saturday, 9 AM – 5 PM. Home visits available on request.