Dhantirth Chit Pvt.Ltd

Rs 26,500 × 20 members + 30,000 Company Commission = Rs 5,30,000

Every member gets the chit amount once during the 20 month period through Auction.

Foreman enters into an agreement with all subscribers and gets approval from the Registrar of Chit.

After getting permission from the Registrar, Foreman conducts the auction.

Only Non-Prized subscribers take part in the auction.

Subscriber who bids the highest discount gets the chit amount.

Maximum discount limit is 34%.

If multiple people bid 34%, a draw is conducted among the highest bidders.

Foreman disburses the chit amount after taking necessary guarantee.

Foreman commission is 6% of the chit amount included in monthly installment.

Discount amount is divided equally among all members as Share of Discount.

Every month, subscribers get some amount as Share of Discount.

Pay monthly installment minus the Share of Discount.

Example: Rs 26,500 - Rs 30,000 (Share of Discount) = Rs 20,000 (Net Amount)

Chit Value 5 Lakh - 20 Months