Chitty / GDS

Group Deposit Scheme /MDS (Chitty)

Malappuram Service Co-operative Bank has come a long way by providing innovative financial solutions to its customers. Group Deposit Scheme is an attractive investment option which caters to people from all walks of life. It is especially beneficial to the Salaried Class, Professionals, Businessmen and Self Employed.. MDS is a good means of savings for any contingency requiring substantial amount. It serves the dual purpose of being an investment for your savings and in times of need the Subscriber can bid for the Prize Amount in order to meet any unexpected expenditure. The benefits of Investing in GDS are numerous. GDS is a contract between the foreman, as the Promoter is called, and the subscribers, who join voluntarily. It is a financial system under which the periodical and regular savings of a group of subscribers are made available to each subscriber, a Specified amount every month (installment) for a specified period. The Pooled funds every month are offered to the subscribers at monthly AUCTIONS and the subscriber who BIDS for the highest discount is declared the PRIZE WINNER and given the prize amount on proper security. The maximum reduction possible is 25% and if there is more than one subscriber interested in bidding at 25% reduction, the numbers of such bidders will be put to a draw. A Prized subscriber also should continue to pay the subscriptions till the termination of the chit. The amount foregone as discount, less foreman’s commission is distributed among the subscribers as dividend.