Arohan Annual Report FY 20-21

Saral Plus, Saral Plus Plus and Saral Prime loans) and have a term of 12 to 24 months. Saral Plus and Saral Plus Plus: If a customer has repaid a minimum of 10 EMIs under her existing loan and she has a good attendance record at centre meetings, the customer becomes eligible for ‘Saral Plus’ or ‘Saral Plus Plus’, which provides access to a larger loan amount for a longer tenure under a Joint Liability Center ( JLC), which consists of all the women in that customer’s centre, the number of whom range typically between 25 and 30 women. These product services loan sizes from INR 55,000 to INR 75,000. Saral Prime: Arohan also provides ‘Saral Prime’ Loans to repeat customers with good repayment records andwhose credit requirements are higher, with the objective of retaining these customers. Retention Product: Arohan’s Retention Product strives towards enhancing customer delight and extending customer lifecycle by disbursement of loans required for the next cycle just before the last due repayment of the existing loan. The first repayment of the Retention Product starts from the centre meeting day following the last EMI of the previous loan. Single Customer Addition (SCA) Product: Single Customer Addition Product was introduced to strengthen the size of centres which are older than 1 year while retaining the fabric of Joint Liability. Bazaar: Arohan’s ‘Bazaar’ product is a Group loan product offered to address the working capital needs of small businesses operating out of authorised market places or clusters of shops organised under Traders’ Associations. Bazaar loan borrowers are predominantly men involved in small trading andmicro-enterprises. The Bazaar loan amounts generally range from INR 15,000 to INR 50,000 and have a term of 12 to 24 months. Repayment meetings for Bazaar customers may be fortnightly or monthly. Bazaar Plus: Once a customer has repaid a minimum of 10 repayments of his/her existing Bazaar Loan, and the customer has a good attendance record at centre meetings, the customer becomes eligible for ‘Bazaar Plus’, which provides access to a larger loan amount for a longer term under a Joint Liability Center. SECONDARY LOAN PRODUCTS In addition to the above-mentioned core loan products, Arohan offers a range of secondary loan products for other daily purposes. Arohan caters to its customers’ requirements for both financial products like life and non-life insurance, as well as, non-financial products for sanitation needs, for utility products including solar lamps, agricultural products, consumer durables, kitchen appliances, bicycles and other household items. This plays a key role in increasing customers’ access to a range of financial inclusion products that helps the overall credit relationship with Arohan. Arohan believes that having robust customer relationships helps with the customer’s credit behaviour with the Company. Financial Safety Net Products: In order to ensure a financial safety net for its customers, Arohan offers life and health insurance policy products that are issued by certain insurance companies, with whom the Company has entered into tie-ups. Arohan has partnered with Bajaj Allianz Life Insurance Company Limited, HDFC Life Insurance Company Limited and Kotak Mahindra Life Insurance Company Limited to underwrite Group Term Life Insurance policies. Arohan has also partnered with Future Generali India Insurance Company Limited and Aditya Birla Health Insurance Company Limited to provide health insurance and hospital cash benefits to Annual Report | 2020-2021 42