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Chit Fund -Is it an Investment Destiny?

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 Chit Fund – Is it an Investment Destiny?
G. Sankararaman, Assistant Professor,
Department of Management Studies, Rajalakshmi Engineering College, Chennai
Abstract
Investment and Savings are influenced by various factors
and vary from person to person with respect to selection of
alternatives. Particularly people from the low income group
may not be in a position to invest in all avenues of
investments. They will invest in the areas where the systems
and procedures are very easy and investor friendly. Chit
fund is one of the avenues which suit the low income and
illiterate segment. This paper attempted to explore the level
of importance and patronage given by the people towards
chit funds in Chennai city and came with excellent results.
Introduction
Chit is a kind of savings scheme practiced in India.
In a chit scheme, a specific number of individuals come
together to pool a specific amount at periodic intervals.
Usually the number of individuals and the number of
periods will be same. At the end of each period, there will
be an auction of the money. Members of the chit will
participate in this auction for the pooled money during that
interval. The money will be given to the lowest bidder. The
bid amount will be divided by members, and thus
determining per head contribution during that period.
Usually the discount will continue to decrease over periods.
The person getting money in the last period will receive the
full scheme amount. Such chit fund schemes may be
conducted by organised financial institutions or may be
unorganised schemes conducted between friends or
relatives. There are also variations of chits where the
savings are done for a specific purpose.
How Chit Funds Came Into Existence?
The Chit Fund schemes have a long history in the
southern states of India. Rural unorganised chit funds may
still be spotted in many southern villages. However,
organised Chit Fund companies are now prevalent all over
India. The Chit Fund Department was set up by the
Government with the main objective of controlling the
activities of Chit Fund Companies of Delhi through the
Madras Chit Fund Act, 1961 extended to Delhi and Delhi
Chit Fund Rules, 1964.
Need for the Study
Though there are several investment options and
alternatives are available for the people, not all of them are
preferred by them. The people may take the decisions based
on their level of education, need and time pressure of the
maturity of the alternative etc. In today’s times, people feel
that chit funds provides solutions for all of them by
www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012
providing loans for children educational plan, marriage,
business purposes etc. The researcher has conducted the
study to know why most of them prefer the chit funds.
The History of Chit Fund Industry
The chit fund also known as chitty or kuri in India
and ROSCA (Rotating Savings and Credit Association)
internationally, occupy a unique position in the financial
system of India. This indigenous financial institution
prevalent even before the evolution of banking had its origin
in southern of India, when the transactions were in the barter
system.
From a humble beginning to its present gigantic
growth, the chit fund institution has now attained the status
of a quasi- banking system, and has turned out to be boon to
the aggressively growing economy of the nation. According
to a report of Asian Development Bank, the turn over of
some 1066 chit fund companies, as far back as 1986 was, an
astounding Rs. 81.6 billions. The estimated turnover of
Registered Chit companies all over India as of now is
exceeding Rs.35,000 crores per annum.
Chit fund become very popular in the 19th century
when ruler of erstwhile Cochin State, Raja Rama Varma,
gave a loan to a Syrian Christian traders, keeping a certain
portion of it to him for administrative and other expenses.
Later, to manage the increasing numbers of those seeking
loans, he ordered a cast of lots and gave the accumulated
amount to those who drew the lot on the principle of equity.
Gradually the practice spread to other parts of the world
including Myanmar and Sri Lanka. But the modern
operations of chit funds started between 1830 and 1835,
when the Chaldean Syrian church in Thrissur started Kuries
under its name and issued passbooks to subscribers as
evidence of enrolment. Another version of the origin of chit
fund is linked with Portuguese missionaries from china, who
visited muziris (kodungalloor) for evangelization and
established a seminary at vypeencotta village in 1577. They
reportedly encouraged promotion of chit fund in
kodungaloor.
1. Chit funds in India are governed by various state or
central laws.
2. Organised chit funds schemes are required to register
with the registrar or firms, societies and chits.
3. Central government – chit funds act 1982 (except the
state of jammu and Kashmir)
4. Kerala- Kerala chitties Act 1975
5. Tamil Nadu –Tamil Nadu Chit Funds Act, 1961
6. Karnataka: The chit funds (Karnataka) rules, 1983
7. Andhra Pradesh- The Andhra Pradesh chit funds act,
1971
Page 42
8. New Delhi – The chit funds act, 1982 and Delhi chit
funds rules, 2007
9. Maharashtra- Maharashtra chit fund act 1975
“Companies which have cheated and run off with
public money were accepting public deposits, but chit fund
companies are not allowed to take deposits, “they still attract
thousands of investors every year and crores of rupees,
despite the expansion of banking into the remotest parts of
the country.
Objectives of the Study
1. To assess the knowledge of respondents about chit
funds.
2. To find out the opinion of the people in investing in chit
funds
3. To identify the reasons for preferring Chit Fund.
4. To determine the Preferred Period of investment in Chit
fund.
Research Methodology
In this study the researcher has adopted descriptive research
design. The sampling method adopted was non probabilistic
convenience sampling. The researchers have collected 225
samples in the Chennai city, but found that 25
questionnaires were incomplete in certain questions so
finally 200 samples were taken for analysis. A self
administered questionnaire was used to collect data from the
respondents of general public. The researcher has used
following analytical and statistical tools in the study. The
study was concentrated on Chennai City only. The study
was conducted in the year 2011 for a period of four months
from January to April. Likert’s Scale, Multiple Choice
Single Responses and Dichotomous Scale were used as
analytical tools and various statistical tools such as
Percentage analysis, Rank correlation analysis, Chi- square
analysis and Analysis of variance for analysing the data.
Review of Literature
P.B Ghate, (1992)
The nature of the interaction between the formal and
informal financial sectors in developing countries is a
subject with important policy implications. It has
implications for the future of informal finance as the formal
sector expands in the long term—will the informal sector
wither away, as the traditional view of financial dualism
assumes, or will it continue to play an important
complementary role, perhaps even growing in absolute size?
Second, the pattern of two major policy approaches often
advocated toward the informal sector—offering it stronger
competition so as to induce it to improve its terms, and
promoting linkages with it so as to take advantage of its
lower transactions costs in reaching smaller and poorer
borrowers. Third, the existence of a large informal sector
has implications for the efficacy of monetary and credit
policy in achieving stabilization objectives. Fourth, the
interaction between the formal and informal financial
sectors also has implications for the effects of financial
liberalization through removing restrictions on the deposit
rate of interest. This paper draws on the experience of Asian
countries to address these issues.
Besley, Timothy, et al (1993), the authors analyze in their
paper the economic role and performance of a type of
www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012
financial institution that is observed worldwide: rotating
savings and credit associations. Using a model in which
individuals save for an indivisible durable consumption
good, the authors study rotating savings and credit
associations that distribute funds using random allocation
and bidding. Each type of rotating savings and credit
association allows individuals without access to credit
markets to improve their welfare but, under a reasonable
assumption on preferences, random allocation is preferred
when individuals have identical tastes. This conclusion need
not hold when individuals are heterogeneous. The authors
also discuss the sustainability of rotating savings and credit
associations given the possibility of default.
Kovsted, Jens and Peter Lyk – Jensen (1999). The
performance and efficiency of random and bidding rotating
savings and credit associations (roscas) are compared within
a game theoretic model. Information about individuals
return from investing the rosca pool is assumed to be
asymmetric and imperfect, and rosca members are allowed
to use funds raised outside the rosca to supplement the funds
raised in the rosca. The conclusion is that although both
types of roscas can improve individual welfare, the bidding
rosca is preferred to the random rosca except when credit
from other sources is costly and types of rosca members are
not widely dispersed.
Peer Smets, (2000) in his paper discussed that for the urban
poor, housing finance from ROSCAs (rotating savings and
credit association) is an alternative to conventional housing
finance, which requires conventional collateral. Contrary to
conventional housing finance, the creditworthiness of
ROSCA participants is determined largely by social factors.
Moreover, a link exists between ROSCA participation and
house (or shack) ownership. Apart from obtaining short– to
medium-term ROSCA finance, participation offers security
for obtaining finance from, for example, moneylenders.
Notably, auction ROSCAs offer cheaper housing finance
than Indian housing finance corporations. The middle
classes mainly use this finance, but the poor tend to obtain
more expensive finance for incremental building.
Anderson Siwan et al (2002). This paper investigates
individual motives to participate in rotating savings and
credit associations (Roscas). Detailed evidence from Roscas
in a Kenyan slum (Nairobi) suggests that most roscas are
predominantly composed of women, particularly those
living in a couple and earning an independent income. We
propose an explanation of this based on conflicting
interactions within the household. Participation in a Roscas
is a strategy a wife employs to protect her savings against
claims by her husband for immediate consumption. The
empirical implications of the model are then tested using the
data collected in Kenya.
N. S. Chiteji, (2002) in his paper says that rotating savings
and credit associations (Roscas) are a popular form of
informal finance in developing countries. This paper
examines the Roscas ability to enforce its terms of
membership and the implications that this has for their
existence in an economy. A connection between
enforcement costs and the desirability of Roscas formation
is illustrated using a framework that focuses on the nature of
the financial contract that the Roscas offers, allowing
inferences to be drawn about the likely viability of Roscas
Page 43
throughout the development process and the implications
this has for debates about financial dualism.
Ferguson, Bruce (2003) has stated that Housing Micro
Finance as the provision of small loans to low- income
households for a wide range of housing activities, including
but not limited to: Repair, Renovation improvements to
existing structures, purchase of land, new construction, and
even improvement in infrastructure facilities, such as
sewage. It has been posted that poor households build
through a process referred to as ‘Progressive housing’ or
‘Progressive build’, implying that poor households build
gradually and incrementally, a few rooms at a time Thus,
microfinance loans would appear to be compatible with this
form of housing finance since finance for ‘Progressive
build’ can be dispensed in the form of small loans of a
shorter tenor.
Stefan Klonner, (2003). The author has modelled rotating
savings and credit associations (Roscas) among risk-averse
participants who experience privately observed income
shocks. A random Rosca is not advantageous, whereas a
bidding Rosca is if temporal risk aversion is less pronounced
than static risk aversion. The payoff scheme of a bidding
Rosca facilitates risk sharing in the presence of information
asymmetries. The risk-sharing performance of a simple
arrangement where a group of homogenous individuals runs
several bidding Roscas simultaneously is as good as that of
a linear risk-sharing contract, and is more enforceable
because it carries a fixed rather than a variable contribution.
Dr.Mudit Kapoor et al (2006). Chit Funds are indigenous
financial institutions in India that cater to the financial needs
of the low income households, which have been excluded
from the formal financial system. It is a mechanism that
combines Credit and Savings in a single scheme. In a Chit
fund scheme, a group of individuals come together for a pre-
determined time period and contribute to a common pool at
regular intervals. Every month, up until the tenure of the
scheme, the collected pool of money is loaned out internally
through a bidding mechanism to the most deserving
member. This way, people who are in need of funds and
those who want to save are able to meet their requirements.
An interesting aspect of Chit Funds in India is that the
industry is highly regulated and institutionalised.
Elsa Bawani Satkunasingam (2006) et al. The Main
purpose of the paper was to provide arguments in favour of
legalising rotating savings and credit associations
(ROSCAs) as they play an important role in savings and
credit for women in Malaysia. The paper refers to previous
studies on ROSCAs in Malaysia and extracts information
that shows that ROSCAs are used mostly by women as a
method of forced-savings, credit and insurance against
uncertainties. It suggests different methods that can be used
to make ROSCAs more efficient. Finally, it provides
suggestions for amendments to existing legislation which
will not interfere with the social structure that supports
ROSCAs, yet permit participants to sue defaulters. The
findings show that ROSCAs are widely practised in
Malaysia especially in the rural and suburban areas. The
participants are mostly women from middle income and
low-income groups who used it as a form of savings or
credit. The benefits of permitting ROSCAs outweigh the
risks. Legalising ROSCAs will not remove the benefits but
will substantially reduce the risks.
www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012
Preethy Rao and Dr.Mudit Kapoor (2007). Chit funds are
a very good tool for financing the activities of small
businesses. In recent years, there have been some
unscrupulous activities in the industry that have instigated
the Government to take serious measures. The occasional
failure of chit funds is generally attributed to expansion
beyond capacity. A chit fund is not a scalable model unless
the chit manager or company has sufficient personal
resources as a backup for financial contingencies. However,
in recent times, big companies like Shriram Chits and
Margadarshi Chits have given a new meaning to the concept
of chit funds with their national outreach and presence.
Mamiza Haq et al, (2008). This paper compares the
regulatory framework of the microfinance institutions
(MFIs) in Asia. The authors found formal MFIs are
generally regulated under the banking legislation and
supervised by central banks. In contrast, semiformal
institutions like NGO MFIs are regulated by either an apex
organisation or other Government body. Informal MFIs are
not regulated but some are of sufficient size to become NGO
MFIs or even banks. The formal MFI regulation seems
effective but the internal controls, governance and
ownership structure are disappointing for NGO MFIs, and of
course for the informal MFIs. It was proposed that a
prudential regulatory environment for MFIs similar to the
banking sector with the realisation that some existing
banking rules may not be applicable to MFIs. The regulator
should also remember the cost of overregulation. This
regulation is a joint and separate responsibility of the
governments, central banks, donors and private sectors.
Their regulators require sufficient competence and
supervision and enforcement skills to achieve a suitable
regulatory environment to protect depositors but still
encourage MFI to improve their outreach and attain
sustainability.
Stefan Klonner, (2008). This article studies how altruism
improves allocations in a private information environment
where strategic behaviour reduces economic welfare. A
theoretical analysis establishes that, in an environment
characterised by uncertainty and private information,
outcomes of auctions in Rotating Savings and Credit
Associations (Roscas) are more efficient when bidders’
preferences are altruistic rather than selfish. A semi-
parametric structural estimation technique for Rosca
auctions is presented. A parametric structural estimation
identifies interactions between group characteristics and
bidder altruism. It is found that effective leadership and
intra-group diversity are associated with a greater extent of
bidder altruism and thus more efficient intra-Rosca
allocations.
Noah Yusuf et al (2009).The paper is a report of an
empirical study on the extent of poverty in the informal
sector of Offa town, Kwara State, Nigeria and the role of an
informal financial institution (Rotating Savings and Credit
Associations ROSCAs) in reducing poverty among the
people. P-alpha-class poverty measure and a multiple
regression analysis were used to analyze with a set of
household data. Questionnaire was administered to 500
informal sector operators, who are members of ROSCAs in
Offa town. The study found that the informal financial
institution plays an important role in reducing poverty
among the people.
Page 44
 Results and Discussions
Knowledge of Chit funds
Knowledge No. of Respondents Percentage
Good 69 34.5
Average 96 48
Poor 35 17.5
Total 200 100
Knowledge of Respondents on
Chitfunds

60
48
50
Respondents

40 34.5
30
17.5
20
10
0
Good Average Poor
Knowledge

One cannot take a decision with out acquiring knowledge about the subject. Knowledge can be acquired by a person through
education, experience etc. Like the normal decision making knowledge has got an important role in investing in chit funds
also. It has been found that majority (48 %) of the respondents have average level of knowledge about chit funds. This shows
that chit funds have been a popular avenue amongst others and considered as an investment option.

Alternatives of Savings Preferred By Customers

Alternatives of Savings No of Respondents Percent
Banks 30 15
Insurance 35 17.5
Po Schemes 49 24.5
NBFC/Chit funds 86 43
Total 200 100

Prefernce of Savings Alternative

50 43
40
Respondents

30 24.5
17.5
20 15

10

0
Banks Insurance Po Nbfc/Chit
Schemes funds
Savings Alternative

When the investors acquire knowledge they will decide about the areas of investment. It has been identified that majority
(43%) of the respondents have preferred NBFC/Chit Funds as a saving alternative. It may be due to various like the level of
income, education and immediate need of money of the people.
Opinion of the respondents in investing in chit funds
Opinion No of respondents Percent
Very good 26 13
Good 77 38.5
Neutral 60 30
Bad 47 23.5
Very Bad 0 0
TOTAL 200 100

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 The table reveals that majority (38.5%) of the respondents say that investing in chit funds is good. The respondents
have opined positively because they are satisfied with the performance, reach, returns and payment terms in chit funds.

Habit of Savings in Chit Funds

Habit No of respondents Percent

Yes 134 67
No 66 33
TOTAL 200 100

150

100
Yes
No
50

0
No of respondents

The table reveals that majority (67%) of the respondents are having the habit of Savings in chit funds. This shows that the
people prefer the investment alternative which well suits them. Chit fund is an investment alternative which is attractive and
simple to invest.
Purpose of Savings in Chit Funds

Purpose No of respondents Percent

BUSINESS 134 67
PERSONAL 66 33
TOTAL 200 100

150

100
BUSINESS
PERSONAL
50

0
No of respondents

The table reveals that (67%) majority of Respondents are investing in chit funds for business purposes. It can be inferred that
business people require more of working capital depending on the nature of business. Not all of the business people have
rapport with banks and financial institutions for financial assistance. Hence the chit funds cater the need for them.

Reason for Preferring Chit funds in Business

Reason No of respondents Percent
Capital 58 29
Working capital 79 39.5
Expansion, diversification etc) 63 31.5
Total 200 100

Though there are several reasons for a person to why a business person requires money. The table reveals that (39.5%)
majority of the respondents are using chit funds for Working/Rotational capital in Business. They prefer chit funds because
they have bidding option, which will suit them in case of an urgent need of working capital requirement.

www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012 Page 46

 Reason for Preferring Chit funds for Personal Use

Reason No of respondents Percent

Asset purchasing 76 38
Education purposes 54 27
Emergency purposes etc 70 35
TOTAL 200 100

Reason for Preferring Chitfunds

for Personal Use
76
80 70
Respondents 60 54

40
No. of

20

0
Reasons

Like the business people others also require money for their personal use. The table reveals that majority (76%) of the
respondents are using their savings for asset purchasing like land, building, two wheelers, four wheelers etc. Since not all of
them have ready made fund for buying all these and due to lack of rapport with the banks and financial institutions the
people prefer chit funds.
Preferred Period of Investment
Period No of respondents Percent
One year 34 17
Two-five years 75 37.5
Five-ten years 64 32
Above ten years 27 18.00
TOTAL 200 100

Preferred Period of Investment

90
No. of Respondents

75
64
60
34
27
30

0
Preferred Period

Investment time horizon is the other factor which evaluates the investment alternative. The table reveals that majority
(37.5%) of the respondents have preferred two – five years to invest. This shows that people have requirement of invested
money with in a short period of time.

No of family members invest in chit funds

No. of Family Members No of respondents Percent
1 25 12.5
2 51 25.5
3 63 31.5
4 41 20.5
>5 20 13.33
Total 200 100
The table reveals that majority (31.5%) of the respondents said that at least three members of the Family are chit holders.
This shows that not only one person but the entire family likes and invests in chit funds.

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 Chi- Square Analysis
Analysis of relationship between income and their period preferred by investors to invest
Income Observed
Opinion Under 10,000 10,000-25,000 25,000-40,000 40,000-50,000 Above 50,000 Value (Total)
One Year 18 0 9 7 0 34
2 – 5 Years 27 24 20 4 0 75
5 – 10 Years 14 35 13 2 0 64
Above 10 4 20 0 3 0 27
Years
Total 63 79 42 16 0 200
Hypothesis:
Ho – The Income of the respondents and the period of investments in Chit Funds are Independent.
H1 – The Income of the respondents and the period of investments are Dependent.
Calculated Value = 53
Tabulated Value at 5% significant level = 21.026
Degrees of freedom = 12
Since the calculated value is greater than the tabulated value, Null hypothesis is rejected. H1 is accepted. Hence the
income of respondents and the decision regarding period of investments are dependent and income decides about the
investment period.

Chi –Square Analysis

Analysis of relationship between Age of respondents and the preference of investment alternative
Age Of Respondents Observed
Opinion Under 30 years 31-40 41-50 51-60 60 years& Value
Years Years Years above (Total)
Banks 10 15 2 3 0 30
Insurance 12 13 3 7 0 35
PO schemes 18 16 7 8 0 49
NBFC/Chit funds 15 18 24 12 17 86

TOTAL 55 62 36 30 17 200
Calculated Value = 39.48
Tabulated Value at 5% significant level = 21.026
Degrees of freedom = 12

Since the calculated value is greater than the tabulated value, Null Hypothesis is rejected. H1 is accepted. Hence the age of
respondents and their decision regarding made of savings are Dependent and age has definitely a say on savings of the
individuals.
Rank Correlation Analysis
Analysis of correlation between the Investment alternative and period of investment
Investors Factors Respondents Investors Preference Respondents
With Banks 30 One year 34
Insurance 35 Two- Five years 75
Po schemes 49 Five- Ten years 64
NBFC/ Chit funds 86 Above Ten years 27
Rank A Rank B D = (Rank A- Rank B) D2
3 1 2 4
2 2 0 0
1 4 -3 9

SPEARMAN’S RANK CORRELATION CO-EFFICIENT:

R= 1-[6∑ D^2 / n (n^2 -1]
R = -0
There exist a ‘- ve’ Correlation between two factors of Investments preference and Investors choice or ready to invest
his amount in different periods. Hence it is understand that there is no relationship between two factors.
Analysis of Variance (ANOVA)
Analysis of variance between the Education and Investors Preference towards chit funds
Opinion/Education A B C D E TOTAL
>SSLC and diploma graduation 15 10 11 12 0 48
U.G 14 19 11 14 9 67
P.G. 26 20 11 7 0 64

www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012 Page 48

Any other 2 15
Total 57
Hypothesis:
H0: There is no significant difference between education and preference towards chit funds.
H1: There is a significant difference between education and preference towards chit funds.
Sources of ariation D.O.F Sum of squares
Between Education 3 445
Between opinion 4 226
Error 12 317
Total 19 988
The alternate hypothesis has been accepted since
the calculated value is greater than the table value at 5%.
Suggestions
1. Chit Funds have to offer more schemes to attract
people of different age groups.
2. Tax concessions can be offered to Chit fund
schemes to promote the level of savings.
3. Chit Fund schemes have to be customised to meet
the needs of all income groups.
4. The fear about the Chit Funds has to be removed
from the mind set of the people by proper
regulatory norms to attract the customers more.
5. Chit Funds should offer schemes for long term
benefit.
6. Chit Schemes with lower denomination have to be
made available for poorer segments.
7. The small chit schemes can remain without
changes to benefit the peoples.
Conclusion
Chit funds are similar concepts like credit unions or
Roscas which aimed at benefiting the poor people. The
results from this study underscore the importance of Chit
Funds as a savings and borrowing vehicle for the poor and
lower income households and the respondents felt that Chit
Funds play a major role for borrowers and savers. In
particular, Chit Funds tend to provide alternative access to
financial services to the people that are underserved by the
formal bank industry. Chit funds were well received and
understood by the people of India.
From the study it can be concluded that people
have good knowledge and belief about Chit funds. Chit
funds have reached the people because of the simple
procedure and systems. People from all categories like
business and others prefer chit funds. Most of the family
members also prefer chit funds. The statistical tools
conclude that income of the individuals have a say in
investment time horizon and age is one of the important
factors in deciding about the savings of the individuals.
The recent changes in chit fund regulation have
significantly increased the transaction costs for chits, and
since most of the costs have to be incurred for each
additional member the regulations have pushed funds away
from serving the poor. Instead funds can only justify the
transaction costs per capita if the individual ticket size is
large. There is no doubt that chit fund can serve as better
vehicle of saving and investment with the strong regulatory
measures and removal of unwanted costs.
References
www.theinternationaljournal.org > RJSSM: Volume: 02, Number: 01, May-2012
0 2 2 21
64 33 35 11 200
Mean Squares Variance ratio F tab (5%)
148.33 5.61 3.49
56.5 2.13 3.26
26.41
Hence there is a significant difference towards education
and Investors preference towards chit funds.
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Economics of Intra-Household Allocation”,
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2) Besley, Timothy, et al, “The Economics of
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September 1993.
3) Chiteji. N. S., “Promises kept: enforcement and the
role of rotating savings and Credit associations in
an economy” Journal of International
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4) Elsa Bawani Satkunasingam et al, “Underground
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5) Ferguson, Bruce, “Housing Microfinance- A Key
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ifmr.ac.in, 2006
10) Noah Yusuf et al, “Informal Financial Institutions
and Poverty Reduction in the Informal Sector of
Offa Town, Kwara State: A Case Study of Rotating
Savings and Credit Associations (ROSCAs)”,
Journal of Social Science, 20(1): (2009).
11) Peer Smets, “Roscas as a source of housing finance
for the urban poor: an analysis of self-help
practices from Hyderabad, India”, Community
Development Journal, Volume 35, Issue 1, 2000.
Page 49
 12) Preethy Rao and Dr.Mudit Kapoor, “Chit Funds -
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