10 Leading Microfinance companies that shaped the finance industry of India

Posted by sunilkumar on March 21st, 2020

What do you mean by Microfinance?

Banks in India provide an array of financial services to business persons. The ease of applying for a loan or an insurance policy has enhanced the lives of the majority of the people, especially the creative minds who wish to go off the road and establish their businesses. But what about the underprivileged section of the society which does not own any assets? This is when microfinance institutions come into the picture!

Such companies offer small-scale financial services to an individual who does not have access to investors or does not meet the requisites cited by the banking department. With the primary goal of aiding self-empowerment and bridging the gap between the rural, semi-rural and urban parts of the country, these institutions extend credit and savings facilities.

Depending upon the intent of the company leader, a microfinance institute can either be a profiting or a non-profiting one.

The best in the lot:-

When we talk about the top microfinance company in India, pointing out a single one isn’t easy. Multiple microcredit organizations can be considered to shape the financial industry together. Some of the leading ones include:

1.Spandana Sphoorty Financial Ltd

Situated in Hyderabad and focused on the deprived female section, this microfinance institute offers extensive loan facilities to the willing women of the country.

2. Fusion Microfinance

Being one of the largest microfinance companies in India, Fusion Microfinance also focuses on the women entrepreneurs of the country and provides them with a plethora of banking options. Also, the institution was recently bestowed with the award for “Best BFSI (Banking, financial services, and insurance) brand of 2019.”

3. Equitas Small Finance Bank Ltd

Aiming to aid people battle against ills of low finances, Equitas is a Tamil-nadu based microfinance institute serving thousands of people.

4. Sundaram Finance Ltd

 Sundaram is one of the leading microcredit organizations of the country that provides loans for purchasing tools and equipment required in setting up small-scale businesses. The primary product offered is car finance.

5.Asmitha Microfin Ltd.

 With a loan portfolio of Rs1240 crores, this microcredit organization has been operating successfully and serving the weaker section by proffering all forms of financial support

6. Share Microfin Limited

With over 3 million members from several different states, Share Microfin has been making the lives of the deprived section easier since 1989.

7. CreditAccess Grameen Limited

It has been 20 years since the establishment of Creditaccess, and since then it has marked the journey from an NGO to an NBFC to elevate the status of women of the country.

8. Bandhan Financial Services

BFC is registered with the reserve bank of India and operates in 22 states of the country intending to alleviate poverty.

9. Madura Microfinance Ltd

This microfinance company aims at promoting female literacy and has partnered with several banks intending to offer more products to self-help groups.

10. Cashpor Micro Credit (CMC)

 With over 200 branches and headquarters in Varanasi, CMC is one of the most reliable loan providers in India.