At Rang De, our mission has been crystal clear right from the word go. We are not just any other peer to peer micro-lending platform. We would be lying if we were to say we were not inspired by the human connect that the peer to peer platform provides. But we wanted to be sure about why we are facilitating this connect. We also wanted you to be doubly sure about why you are foregoing financial returns to participate in Rang De.
Rang De is a peer to peer platform with a distinct feature. The distinction lies in our mission and our reason for existence. Our mission is to provide micro loans to borrowers at cost-effective and affordable interest rates for businesses and education.
Our field partners are non profit organisations who believe in our mission and have displayed extraordinary levels of commitment to being champions of the community - so much so that they go out of their way to reach out to the truly underserved. Many of our borrowers are those who have not even had access to any form of credit.We have cautiously left out the bigger players in the microfinance industry because we are aware that Rang De does not provide an instant mantra to scale. A few big players believe in our mission and they have gone all out to reach out to the underserved through this partnership. We would call them rare exceptions and are highly impressed by their focus to create and measure social impact that they have been instrumental in creating.
So, who do we reach out to? As much as possible our attempt is to reach out to those who will truly benefit from the low cost loan.Rang De and its field partners work on some really unique SLA's (Service Level Agreements). It is no oridnary MOU.
Here are the terms and conditions in 'bold'. There is no fine print here.

1. Every borrower on Rang De is aware that his/her photograph is displayed on the internet for the entire world to see.
2. No processing fee or membership fee is charged from Rang De borrowers.
3. All Rang De borrowers pay 8.5% flat p.a. on business loans and 5% flat p.a. on education loans.
4. Every Rang De borrower is aware that there is a 30 day waiting period from the date on which the loan application is made.
5. Our loan sizes start at as low as Rs.1000 and that makes it all the more inclusive.

So, what happens once applications are screened by the field partner and profile are published on RangDe.Org?

1. Every application form is valid for a period of 30 days.
2. By the 25th day of this cycle, we aggregate the money we have raised and initiate a transfer to the field partner.
3. In most cases we manage to raise all the funds for the borrowers.
4. However, there are instances when we are not able to raise the funds. Every Rang De borrower once screened is guaranteed of a loan.

So when we have a deficit, Rang De pitches in from its corpus. The corpus consists of funds given by corporates as part of their CSR. Once we get back repayments,we simply withdraw the funds back into our corpus.
It essentially means that your Rs.100 is indeed going to the person you have invested in and the repayment cycle for the borrower begins one month after the loan has been disbursed. So you begin to receive a Rang De credit latest by end of two months depending on when you have made a social investment.