UmaChitFund: Revolutionized savings cum borrowings. Uma chit funds is an advanced version of Rotating Saving and Credit Associations found across the globe. It serves people with limited access to banking facilities and gives them access to savings and borrowing schemes. The platform is enabled with smart contracts and provides many additional features along with high encryption, data security and unmatched transparency.
Chit Funds is a Non-Banking Financial Institution originated in India which comes under the RBI Act 1934. These companies are governed by the Chit Fund Act 1982. “Chit” as characterized by the act, implies an exchange by the method of which a foreman goes into a concurrence with various subscribers that all of them will buy in a specific amount of cash in periodical portions over some period of time i.e.
Chit funds are a traditional means of savings and borrowing in which members or subscribers agree to contribute a fixed amount of money for a fixed duration of time. The total amount collected (by foreman) is then auctioned and given out as prize money to the member or subscriber in need. So, this allows the members to save a part of their earnings for the times when needed.