Thinking of making an investment? What do you expect from an investment ? safe deposit ? Profit ?
Money doesn't grow on its own unless we put it to work. We know that funds sitting in a savings account typically don't earn you much interest.
You do not have to look far. It is here-right at your doorstep. Invest in chit the most bountiful savings-cum-investment option that has evolved over several years -a widely accepted and practiced option that yields the highest return on your money. 'CHIT' is a transaction (also known as Chit Fund, 'Kuri' and by several other names) in which the Chit Firm enters into an agreement with several subscribers.Each of the subscriber contributes a certain sum for a defined period. During the auction conducted, one of the subscribers, chosen by a lot or by auctionis entitled to a prized amount.For example, let us assume that 25 people agree to subscribe an amount of Rs. 4,000/- for 25 months, that is for a total chit value of Rs. 1,00,000/-. Each person can bid for an amount between 5 to 35% of the Chit amount and the highest bidder has to forgo a substantial amount. This amount is distributed as dividend amongst all the subscribers after deducting 5% commission of the Firm. In case there is no bidder for an auction, the successful subscriber is chosen by draw of lots.