Can Nidhi companies accept deposits in cash?

Can Nidhi companies accept deposits in cash?

No Nidhi Company shall accept deposits exceeding 20 times that of its net owned funds as per its last audited financial statements. Tenure of minimum 6 months up to 60 months.

Can a Nidhi Company take loan?

Nidhi Company is bound to accept deposits from the registered members and provide loans to its members only. This means Nidhi Company loans are for the shared advantage for its members. There are financial institutions in the form non-banking have been formed like Nidhi Company.

Can cash be deposited in loan account?

Yes, you can accept cash loan or deposit amount of Rs. 20,000 or more from the government or banking institution because it falls under exceptions of section 269SS.

Can Nidhi Company give unsecured loans in cash?

As said, Nidhi Company is not allowed to do micro finance business or in other words, Nidhi Company is not allowed to provide unsecured loans to its members. Nidhi Company can only lend a secured loan that too only to its members.

Is Nidhi bank safe?

Are the Deposits with Nidhi Company safe and secured? Yes, the Deposits with such companies are safe and secure because the Ministry of Corporate Affairs and Reserve Bank of India has framed rules and regulations to ensure the safety and security of Deposits.

Can I repay bank loan in cash?

You can repay your loan amount to any HFC (Housing finance company) or NBFC (Non-banking finance company) in cash provided each loan instalment is less than Rs 2 lakh. The government introduced a new section 269ST.

Can NBFCs accept deposits?

The NBFCs are allowed to accept/renew public deposits for a minimum period of 12 months and maximum period of 60 months. They cannot accept deposits repayable on demand. NBFCs cannot offer interest rates higher than the ceiling rate prescribed by RBI from time to time.

Can Nidhi Company give loan to non members?

No person other than members of a Nidhi Company shall be eligible to accept loans.