Andhra Pradesh introduces new chit fund policy

Andhra Pradesh government is taking measures to ensure that chit fund business in the state is done in a transparent manner

Amaravati: The Andhra Pradesh government is taking measures to ensure that chit fund business in the state is done in a transparent manner, and announced a new policy towards this on Monday.

Revenue minister Dharmana Prasada Rao, who said here that chit funds business would be done entirely online, also launched `e-chits’, a new electronic application.

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All transactions should be done by chit fund companies only online according to the new policy and the Andhra Pradesh Revenue, Registration and Stamps department had developed the new application.

Thanks to this, chit fund subscribers would be able to know whether their money in the schemes is safe or not and the new policy was formulated only to ensure that the subscriber is not cheated, the minister said.

The Registration department would monitor the schemes online to grant clearance and it is mandatory the chit fund companies followed this, the minister said. This applies to the chit fund companies already registered, and they should comply with the new policy, he added.