Over three decades
ago, Margadarsi Chit Fund showed the people of Andhra Pradesh
the way for a happier life. Guided by the vision and
determination of Sri Ramoji Rao, Margadarsi made its humble
beginning in October, 1962, in a small office with just two
people working. To him can be credited pioneering the concept
of chit funds in the state as never done before. Now it has
become a household name in Andhra Pradesh.
Far from being a
popular form of planning that it is today, chit funds was a
little known concept when Margadarsi unfolded it in Andhra
Pradesh. But with the passage of time and experience, chit
funds became popular as people discovered in it an ideal way
to save profitably and raise money at short notice to meet the
contingencies. Many companies followed suit and chit fund
companies sprung up like mushrooms. In this vast changing
scenario, Margadarsi’s unchanging values like honesty of
performance, professional integrity, high quality of service
and absolute financial discipline helped in retaining its
leadership position.
Margadarsi enjoyed
exponential growth over the years and today employs 2,300
employees, and has 2,500 agents, 89 Branches, over 3,80,000
subscribers and a turnover of over Rs. 3000 crores. Margadarsi
is not only No.1 Chit Fund Company, but also a household name
in Andhra Pradesh.
_______________________________________________________________________
Growing force in
Tamil Nadu too
________________________________________________________________
Having
started operations in Tamil Nadu in 1992, Margadarsi is fast
gaining a firm foothold in the state. The company has already
established 13 Branches engaged in providing the same high
standards of service and reliability that made it the leader
in Andhra Pradesh.
Trust now
comes to Karnataka
________________________________________________________________
With
the opening of six branches in Karnataka by December, 2001
Margadarsi brings its long standing record of trust and
reliability to the people of Karnataka in huge measure.
A tradition
of excellence
________________________________________________________________
Everyday
some activity or interest of the well-diversified
Eenadu-Margadarsi Group, of which Margadarsi Chit Fund is a
part, touches the lives of people in some way or the other.
The group is behind brands like Priya pickles &
confectionary and Eenadu publications that publish the largest
circulated Telugu daily, Eenadu, News time, a popular English
daily and a host of magazines. The Group has also established
a name for itself in entertainment with its Etv channel in
Marathi, Telugu, Kannada, Bengali, Oriya, Rajasthani, Bihari, Gujarati,
and Urdu. Dolphin Hotels, its venture in the hospitality
business is known for its friendly service. The Group has also
made a mark in film production and distribution with Ushakiron
Movies, in handicrafts with Kalanjali and its latest venture
Ramoji Film City, a one-stop destination for film making and
also a unique tourist destination.
History of chit
funds
________________________________________________________________
Chit
Funds are indigenous financial institutions unique to South
India and predating commercial banks. They have stood the test
of time, as evidenced by the growth in the number of chit fund
companies in the South. However, the importance of any
financial institution cannot be judged by its numerical
strength alone, but by its performance. Tracing back the
history of the origin of chit funds reveals that they evolved
at a time when banking facilities had not developed, thus
filling an important credit gap in the economy. But with the
growth of banks, chit funds were doomed to closure. However,
on the contrary, vast expansions in the chit fund business
were witnessed over the years, neck to neck with that of the
banking system. Proof enough that chit funds continue to fill
the credit gap in the developing economy of our country. Today
chit fund companies are recognized as important credit and
investment agencies.
 |
‘Foreman’
means a person who under the chit agreement is responsible for
the conduct of the chit and includes any other person
discharging the duties of the Foreman. It is the personality
and conduct of the Foreman, whether individual or
institutional, that lends strength to a chit Fund Company. A
Foreman credited with qualities like promptness,
straightforwardness and honesty attracts subscribers easily
for the chit fund company. Similarly, basic dishonesty and
unscrupulousness on the part of the Foreman can break it. The
Foreman assumes a dual role. Besides being an organizer, he
also is a subscriber in every chit group. He is also entitled
to obtain one chit amount into the chit group without
deduction of the amount. It is a good practice if the Foreman
ploughs back the entire prize amount into the chit business to
meet his future obligations promptly. This ensures prompt
payment to subscribers even in the eventuality of some members
defaulting on the payment of their installments or
discontinuing their membership. Thus ensuring that failure on
the part of some members does not become an excuse for the
Foreman to delay the Bid Payable amount to the subscribers.
|
Why
Margadarsi?
_______________________________________________________________
The hallmark of
Margadarsi’s success is its meticulous planning, coupled with
hard work and deep commitment to serve its customers in the
best possible manner. New schemes are introduced form time to
time to meet the financial needs of the customers and fulfill
their aspirations. With a task force of 2,300 employees, 2,500
agents and development officers, efficient and prompt services
are available to customers at all times. Subscribers can rest
assured that the company will serve its customers with the
same zeal throughout the association, right up to the
termination of the chit.
Keeping with its promise of providing high quality
professional and personalized service, Margadarsi started the
unique ‘72 hour response’ facility. This facility of quick
disbursement of money (subject to documentation) is unique to
Margadarsi and currently not being offered by any other chit
fund company.
If for any reason,
a subscriber fails to draw the prize amount before the next
succeeding auction, the prize amount payable is deposited in a
separate bank account. This money is earmarked for payment to
the concerned subscriber only. Thus Margadarsi ensures total
security for subscribers’ money.
It is this
understanding of the need and requirements of customers that
enabled the company to reach out to so many subscribers and
continues to do so. Margadarsi’s impeccable track record and
its strict professional discipline have earned it tremendous
good will and respect across the social chain: Professionals,
industrialists, corporate executives, government employees,
teachers, housewives and more. They all know and have
experienced the company’s commitment to give the best and its
ability to meet every kind of need. Besides they are secure in
the knowledge that Margadarsi belongs to a stable financial
group that shares an excellent relationship with all its
customers. This success hasn’t come easy. Nor has it in any
way made the company take it easy. It was the first chit fund
company of its kind and Margadarsi continues to remain the
first choice for lakhs of people from the different walks of
life.
|
How Margadarsi
works
_______________________________________________________________
With
its vast experience in the field, Margadarsi has made systems
and procedures simple, systematic and full proof. Subscribers
can choose from a wide range of chits from Rs. 10,000 to Rs.
25,00,000 designed to suit a variety of requirements. To
become a subscriber, individuals need to fill out an
enrollment form, and opt for any of the chit schemes available
with monthly installments ranging from Rs. 400 to Rs. 50,000.
Depending upon the requirement, one may choose Long Term Chits
(50 month duration) for saving purpose and Short Term Chits
(25 months duration) for emergency planning. Subscribers are
entitled to bid at the auction even if only one installment
has been paid i.e., the first installment. However, depending
upon the requirement and competition, one can get the bid in
any of the installments. After being declared as successful bidder in
the auction, the successful bidder has to submit sureties
depending upon future
liability either from salaried employees with required basic
salary or business people having taxable income or even
property mortgage. Thereafter, the prize money is released
after completing a few formalities. The chit money has to be
paid back in remaining easy installments. The successful
bidder earns his or her profit by repaying the monthly
installments excluding the dividends.
|
Margadarsi, a
lifelong friend
_______________________________________________________________
Every
individual is driven by hopes and aspirations, but may lack
the resources to make them come true. Sometimes, there are
emergencies, obligations and unforeseen expenditures. All
these occasions require money in lump sum. It is on occasions
like these that one can turn to Margadarsi for help. Be it
educating children or performing their marriage, constructing
a house or buying a flat or investing in security for the
future, Margadarsi has always been like a trusted friend. The
company has been playing a vital role in making life easier
for all those who’ve invested their confidence and hopes in
it. This explains why the company has become synonymous with
trust and reliability.
|
Lured by the objective of making quick
profits, persons with inadequate means start chit funds by
furnishing the required security and fulfilling other
prescribed formalities in the Act. Since their objectives are
neither honest nor legal, such companies roll down their
shutters soon, thus cheating many gullible investors
.
|