Personal Micro Credit a Path for Upliftment of Socio-Economic Status of the Lower Income Women

Micro Credit is the extension of very small amount of loan to the poor people who lack collateral, steady employment and variable credit history. Micro Credit is provision of thrift, credit and other financial services and products of very small amount to the poor in rural, semi-urban and urban areas for enabling them to raise their income levels and improve living standards. Micro Credit Institutions are those, which provide these facilities. The concept of micro credit is known more by its approach than by monetary limits to the amount of loans.

Micro finance is a broader term than Micro credit. The main components of Micro finance are deposits, loan payment services, insurance, and money transfers. However the Micro credit is only one component of Micro Finance.

The concept of micro credit is known more by its approach than by monetary limits to the amount of loans. An extremely small loan given to impoverished people to help them become self employed. It is also known as "micro lending" or "micro loan".

In India, the National Bank for Agriculture and Rural Development (NABARD) finances banks that on-lend funds to self-help groups (SHGs). Apart from the NABARD now days Micro Finance Institutions (MFI), Public sector banks, Private sector banks, RRBs and DCCBs are also finances to poorest women for upliftment of women.

Patsansthas registered under the Co-operative societies are lending funds to the poor women. These Patsansthas are generally lending the funds to the Individual member of the group with the backing of each others guarantee. The concept of "Personal Micro Credit" than funding to the SHGS becomes very popular and targeted means of finance. These Patsansthas are giving not only funds but also provides technical assistance to the women for developing the enterprenual skills of the women. The researcher conducted the research at Navjeevan Nagari Sahakari Patsanstha, a credit society registered with Co-operative department running a financing activity towards upliftment of women through the "Personal Micro Credit" We study of the concept of Personal Micro Credit and whether it affects on the upliftment of the women.