Through Microfinance program CDIP aims to eradicate poverty and provide financial stability to the disadvantaged and the marginal poor people. Micro credit loan is a process of loan repayment and recovery, in which the underprivileged poor people can take the institutional loan on most affordable conditions. This loan is used in various activities of family income generating activities and afterwards, it is possible to pay these on the basis of installment.

For the working class and rural area population it’s really hard to get any kind of loan or financial aid form established banks or financial organizations, because of this local loan sharks charges high premium and take advantage of these people. To eradicate this system and grant access to easier loan and savings program CDIP has been providing various types of innovative financial and nonfinancial services to rural population and micro-entrepreneur. Currently we are providing our Micro credit services through our 176 branches in more than 5,196 villages.

Our Loan program products:

Description of Our loan products: 

1. Jagoron Loan:
   Jagoron loan is designed to initiate household based enterprise development in Bangladesh. Loans range from TK. 6,000 to TK. 75,000, depending on the economic activity, the borrower’s management capacity, and demand for the product and/or services in the market. The loans are repayable within a year in 45 installments and carry 24% interest on a decline basis.
    
2. Agroshor Loan:
   CDIP has developed its Agroshor loan for the entrepreneurs capable of graduating from groups, as well as entrepreneurs in the community. Agroshor loan is for the progressive members who are undertaking economic activities that require bigger amount of capital. The size of the loan depends on the size of the businesses and the comparative advantages that the entrepreneurs have. With the Micro-enterprise loan borrowers are expected both to provide equity and generate wage labor employment (other than family labor). Micro-Enterprise loans range between TK.76,000 – TK.10,00,000, repayable within one year, either in 46 weekly or 12 monthly installments, depending on the cash flow pattern of various types of projects and activities.
   
   
3. Buniad Loan:
   ‘Buniad’ is a Bangla word which means foundation. Buniad is for Ultra poor population to build a base economic stability. Under Buniad, CDIP is providing flexible microcredit to the ultra-poor people. Buniad loan helps ultra-poor people to reach the level of moderate poor. Buniad loan ranges from TK. 6000 to Tk. 35000. The borrowers have to repay the loan within 45 weekly Installment.
    
4. SMAP Loan:
   Marginal Sized Farmers Agricultural Productivity Improvement and Diversification Financing Project (SMAP). The objective of this loan is to increase agricultural productivity and diversity of the small and marginal sized farmers of Bangladesh by financing agricultural loans and providing agricultural training services to farmers. SMAP loan ranges from TK. 5,000 to TK.2,00,000 with 19% interest on a decline basis. Repayable in Six-month lump sum installments (One-time payable).
    
5. Shufolon Loan:
   Bangladesh is primarily an agriculture based country and a significant majority of our population still lives on agriculture. Our small farmers often do not get loan at the time of their need and as a result, our agriculture production is often adversely affected. In order to help and support small farmers, CDIP introduced Shufolon loan in 2008 exclusively for agricultural activities and is designed to increase the farm activities and production for enhancing the livelihood of the poor rural households. Shufolon loans of maximum TK.50, 000, depending on the activity, land-holding size etc. Repayable in six-month lump sum installments (One-time payable).
    
6. Enrich Loan:
   with the high rate of increase of population in the urban areas of Bangladesh, the demand for different kinds of financial services are also increasing in the urban as well as rural areas in all over Bangladesh. In view of above demand and market need, CDIP introduced “Enrich Loan”. The Enrich Loan is intended to support the urban entrepreneurs and small traders to meet their requirement for loan facilities and also to strengthen their existing investment and business activities in accordance to their choice and need. However, depending on the need of entrepreneur the loan size may vary from Tk.6,000 to Tk.10,00,000 which is repayable in In 45 weekly or 12/18/24 monthly installments, whichever is convenient for the loaner. The Enrich Loan shall carry 24% interest on a decline basis.
    
7. Livelihood development Loan:
   With the introduction of our Social Commodity program, we introduced a new type of loan package for our members. Under Livelihood development Loan program members can buy product from us and pay its retail price in equated monthly installment (EMI) without incurring extra charges or paying extra fees. It’s a great way to provide financially disadvantaged with the opportunity to acquire life improving products and appliances. Under social commodity loan we offer up-to TK.70,000 repayable in Weekly 45 to monthly 12 installments.
    
8. Sanitation Development loan:
   People living in rural Bangladesh are still using inadequate sanitation facilities. Our product connects clients to the market and provides them with the finance needed to upgrade or build their sanitation facility. Under this loan product we offer up to 15000tk. On 18% interest on declining basis, repayable in weekly 45 to monthly 12/18 installments.
    

9. Livelihood Restoration loan (LRL):
   Covid-19 has greatly affected our lives and economy. To restore normal way of life and livelihood, CDIP started Livelihood restoration Loan with partnership of PKSF. Rural population are greatly affected by this pandemic. To keep economy running and to help our small and marginalized farmers and small entrepreneurs get back to their feet livelihood Restoration Loan is much needed step. Livelihood restoration loan has very low interest rate and flexible repayment method. Livelihood restoration loan highest 100,000 Tk. with interest rate of 18% on declining basis, repayable within 2 year time.

10. Revolving Refinance Scheme Loan Policy (RRSL):
    Novel corona virus pandemic has seriously hampered the economic activities throughout the entire world. Bangladesh is also greatly affected due to this pandemic. Many small income professionals, farmers, ‍small and marginal  business owners as well as other citizens returned from their workplaces : both inland and overseas. They are now unable to run their income-generating economic activities. So, for their rehabilitation and engagement in economic and income generating activities, CDIP has initiated Revolving Refinance Scheme Loan Policy (RRSL). This loan policy will be made effective by fundings from Brac Bank subject to availability of the fund from Bangladesh Bank’s incentive pakage. A Jagoron member would be allowed to draw highest Tk. 75,000 and an Agrashor member would be allowed to draw Tk. 10, 00, 000 with interest rate of 9% (in decreasing basis), repayable within 1 to 2 year (by weekly installment in 1 year and monthly installment in 2 years).

Member Savings Program:

People in general and rural, poor people in particular have a tendency to save money in very small amounts. But, often they do not have facilities or easy access to keep safe custody of their small amount of money, especially in rural areas. Since its beginning in 1995, CDIP has been working to collect the small savings every week from house to house of poor members and literally acting as the “Poor Peoples Bank” in the respective areas of operation.

In consideration of the need and demand of the poor people, CDIP currently running 4 types of savings program:

1. Member Savings (Compulsory)
2. Member Savings (Voluntary)
3. Member Savings (Term)
4. Fixed Deposit Receipt (FDR)

All members always enjoy the right of withdraw their savings with interest in their crisis hours/difficult situations.

1. Member Savings (Compulsory):
Members are to save minimum TK.50 weekly. However, any member has the right to save more than TK.50 every week. CDIP regularly pays interests on the average monthly savings balance and allow withdrawal of savings at client’s request as per CDIP policy accepted by the client’s.
i) Jagoron members are to save at least TK 200 monthly.
ii) Agroshor members are to save TK 500 monthly.

2. Member Savings (voluntary):
Member may save or not save money under this savings product. This is not compulsory. Member can withdrawal their deposit fully or partially any time with interest. CDIP pays higher rate of interest than general savings. Members are to save minimum Tk.50 each week. Voluntary savings are not compulsory.

3. Member Savings (Term):
Poor people often value regular, disciplined savings systems as a way of building up useful lump sums that can be invested or used for social obligations such as marriages, funeral or children’s education. These products respond to the Poor’s demand for liquid savings systems that protect their money from frequent spending and allow the slow, but steady accumulation of a lump sum fund. CDIP pays a significantly higher rate of interest on these regular savings than on the general savings account. Term savings they are to save TK 100 monthly or any multiple.

4. Fixed Deposit Receipt (FDR):
Fixed deposit accounts are an excellent means to grow your money over a period of time. Interest rates on fixed deposit schemes are generally higher than the interest on savings accounts. Members are to save TK 10,000 or any multiple. Through our FDR program our members can get better return on their fixed deposit.
Under FDR we have:
1. Monthly Deposit (MDR)
2. Fixed term Deposit (FDR)

Under the monthly savings program, members can save minimum TK.100 or any multiple of it in every month according to their convenience and ability. Members also have the right to close this account any time and withdraw the deposited amount of money along with the interest accrued at higher rate.