This scheme, which as indicated in its title ‘Qard Hasan’ translates as ‘Benevolent Loan’, is an Islamic finance title referring to an interest free loan. In simple terms, the borrower is obliged to repay the principal sum of the loan without interest, mark-up or a share in the business for which the loan was utilized.
CBF offers Qard Hasan loans for sums ranging from Rs. 25,000/- to Rs. 100,000/-
CBF accepts gold jewellery as collateral at a rate of Rs. 50,000/- per sovereign. *
Repayment schemes usually endure a period of 10 months in equal installments.
*Values indicated for gold sovereign are at 22 carats.
