All India Democratic Women's Association petition Coimbatore Collector urging action microfinance companies allegedly flouting RBI's COVID norms

All India Democratic Women's Association petition Coimbatore Collector urging action microfinance companies allegedly flouting RBI's COVID norms


Coimbatore: Petition was submitted to the District Collector on behalf of All India Democratic Women's Association urging action against microfinance companies that allegedly flout RBI's COVID norms.



The affected women along with all India Democratic women's association submitted a petition with the district collector seeking action against the microfinance companies demanding installments in spite of RBI guidelines and threatening to pay the loan in full.

Parveen from Selvapuram said that themicrofinance companies, Grama Vidiyal, Muthoot, Arise, and Dhanalakshmi have provided loans to a number of self-help groups for doing business.

She said there were groups of 10 to 30 people and she had been selling imitation jewellery and textiles for the past three years with a loan from a microfinance company. She said she was unable to pay the installments due to the lockdown and accused that microfinance companies are forcing people to pay money and threatening them to pay higher interest rates in spite of the government regulations.

Similarly Radha who had borrowed from Grama Vidiyal had stated that she was paying Rs. 640 a week, but with few months of non-payment she was being threatened to pay the full amount. Hence they submitted a petition seeking strict action against such microfinance companies that are forcing people to pay.

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