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How to Build Credit and Save Money with a Chit Fund

Updated on January 25, 2019 05:05 pm
Chit Fund Recipients

Unlike modern banking, Chit is an absolutely Indian concept and traces back from an ancient history.  Legend has it that Chit Funds originated in India 1,000 years ago during the Maurya Dynasty during the regime of King Chandragupta.  The nucleus of the concept is based on mutual trust, confidence, and cooperation.  The basic principle is "No one stands to lose and all stand to gain!"  This innovative concept was exported all over the World and over centuries served the needs of millions of people.

A quick primer on how Chit Funds work in India: A few people, say 6, would agree to save a certain amount, say 100 rupees, every month.  The first month, the 6 people would get together and pool their money which would be 600 rupees.  The names of all the members would be written on a chit (hence the name Chit Fund) and placed in a pot.  One chit would be drawn and that person would receive the entire 600 rupees.  Next month, they would meet again and pool their 600 rupees and another chit would be drawn from the pot.  This process would continue for 6 months and everyone would save 600 rupees and receive the same amount.  It is a very simple but powerful savings mechanism.  Due to their nature, Chit Funds were local where members of the community would regularly meet and pool their money.  However, with modernization of society and the development of transport and communications increasing the mobility of people, Chit Funds over the years lost their localized character.

At GoChitty.com we are bringing the power of technology and modern finance to this proven, centuries-old method. Moreover, we have improved the Chit Fund concept and brought it to the 21st century.  We can now build a virtual community so distance is no longer a barrier.  We use credit risk tools to assign risk ratings. We also increase the amount that the members contribute every time so if you wait longer, you get more money.  Thus everyone selects the time when they want to receive the money rather than drawing chits from a pot.  So as a result of these improvements, at GoChitty you can borrow cheaper, save faster, and invest better!

And it gets even better. As everyone in the US knows, having a good credit score is invaluable.  It is necessary to buy a car, a house, even get your cell phone contract and in many cases employers do a background and credit check before offering a job.  Now building a good credit score is not easy and takes time. Many people have to take out secured loans just to build a credit score.  Participating in GoChitty has a huge benefit, as we report all contributions to credit agencies, you get to build your credit score while saving.  So now imagine, being able to build your credit not just through borrowing but also through saving and investing!

Building your credit score using a Chit Fund is a proven method and recognized by the credit bureaus in the US.

See the power of saving within a community that has stood the test of time for over 1,000 years.  Join GoChitty.com today to start saving money and building your credit.

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Understanding Money Transfer Speeds

Sending money internationally is a vital task for many immigrants supporting their families back home. When finding the best money transfer service to send money with, you might be tempted to pick your remittance service provider based on whoever has the highest exchange rate. However, it is important that you look at more than one factor. Money transfer fees, the corridors the money transfer service offers, promotional offers, and money transfer speeds are just some of the factors you should look into before you decide on the best money transfer service for you. In this article, we will mainly be covering money transfer speeds. While the process seems straightforward, understanding transfer speeds is essential to ensure timely and efficient transactions. This article will delve into why money transfer services can't instantly transfer money, the factors influencing transfer speeds, and how to compare and choose the right remittance service using CompareRemit.Why Can’t Money Transfers Be Instant?Money transfers involve multiple steps and parties, which can cause the money transfer process to take some time. Here are some reasons why transfers aren’t always instant:Transfer Method: Bank transfers, wire transfers, and online money transfer services all have different processing times. Online services often provide the fastest way to send money.Payment Method: How you fund the transfer (bank account, credit card, debit card) can affect speed. Transfers funded by credit cards might be quicker but could incur higher fees.Transfer Amount: Larger transfers may undergo more rigorous checks, resulting in slower processing times compared to smaller amounts.Service Provider: Different remittance companies offer varying processing times. Some prioritize speed, while others focus on cost-effectiveness. It's essential to research and compare the transfer speeds of different providers.Verification Processes: Financial institutions must verify the sender’s and recipient’s information to prevent fraud and comply with regulations. This verification can take time.Bank Processing Times: Banks typically have set processing times, often limited to business hours and excluding weekends and holidays, which can delay transfers.Regulatory Compliance: Different countries have various regulations to prevent money laundering and illegal activities. Ensuring compliance with these regulations adds time to the transfer process.Intermediary Banks: Transfers that involve multiple banks or financial intermediaries can take longer as each institution has its processing times and procedures.Destination Country: The country to which you are sending money also plays a role. Transfers to countries with advanced financial infrastructure tend to be faster. For instance, sending money to India might be quicker compared to less developed regions.Time of Transfer: The timing of initiating the transfer also plays a role. Transfers initiated during business hours on weekdays tend to process faster than those initiated on weekends or holidays.Anti-Fraud Measures: To protect against fraudulent activities, money transfer companies implement rigorous security measures. While essential, these measures can slow down the processing of transactions.Preparing for Money Transfer SpeedsTo ensure your money reaches its destination as quickly as possible, consider the following tips:Plan Ahead: If you know you need to send money by a specific date, plan the transfer well in advance to avoid any last-minute delays.Verify Recipient Information: Ensure all recipient details are accurate to prevent any issues that might delay the transfer.Choose the Right Service: Use CompareRemit to evaluate different services based on their transfer speeds, fees, and reliability. This tool allows you to see all the factors that will influence your transfer experience.Consider Time Zones: Be mindful of time zones, as transfers initiated during business hours in the recipient’s country may be processed faster.Find the Fastest Way to Send Money Internationally with CompareRemitWhen selecting a remittance service, prioritize your needs and preferences. Getting the most for your money is important, but the highest exchange rate is not always the best answer. Getting a high exchange rate but having your money recipient wait days or even weeks to receive their money is not the best deal. Use CompareRemit's comparison tool to identify the fastest way to send money internationally. Compare the processing times offered by different providers to find the fastest way to send money abroad.

USD to INR Forecast 2024
USD to INR Forecast 2024

The year 2022 concluded with the Indian Rupee hitting an all-time low against the US Dollar. The COVID-19 pandemic significantly impacted global economies, leading to the devaluation of the Indian Rupee. Throughout the pandemic, the rate experienced a gradual decline in value, setting the stage for potential recovery in 2023.The US Dollar to Indian Rupee exchange rate did, in fact, see that recovery over the year’s performance. 2023 ended on a high, with the exchange rate averaging at $1 = ₹83.249 in December 2023.As we are well into 2024, it is crucial to begin looking to the future and understand what the predictions for the year’s rates are. If you are planning to send money to India this year, this is particularly important as it will help you understand what is the best time to send your money and take advantage of an opportune rate.  Navigating the USD to INR exchange rate landscape requires understanding market dynamics and leveraging available resources to make informed decisions in 2024 and beyond. That is why we have accumulated expert forecasts and predictions all in one place for you. In this guide, we will be covering the Indian rupee's current outlook, what's driving the value of USD, the USD to INR forecast, and much more.The US Dollar-Indian Rupee Performance in 2023As we delve into the USD to INR forecast for 2024, let's rewind and understand the context.2023 had an unpromising start, leaving many wondering whether the value of the Rupee was going to continue to decline despite the aftershocks of the pandemic having pretty much worn off. On January 20th, 2023, the USD to INR exchange rate reached its lowest point for the year. However, as the year progressed, 2023 witnessed a slow but steady increase in the exchange rate compared to 2022. The USD/INR rate experienced a positive shift of +0.62% in 2023, indicating an increase in the value of the US Dollar against the Indian Rupee. The year's peak rate was recorded at 83.442 INR on September 19, 2023, with an average exchange rate of 1 US Dollar = 82.579 Indian Rupee for the year.Various factors contributed to the strength of the USD against the INR and the subsequent exchange rate fluctuations. Economic indicators, such as GDP growth rates, inflation, and employment data, played a significant role. Additionally, geopolitical events, trade policies, and interest rate differentials between the US and India influenced investor sentiment and currency valuations.What Factors Contribute to the US Dollar’s Strength & Exchange Rate Fluctuations?Various factors contributed to the strength of the USD against the INR and the subsequent exchange rate fluctuations. Economic indicators, such as GDP growth rates, inflation, and employment data, played a significant role. Additionally, geopolitical events, trade policies, and interest rate differentials between the US and India influenced investor sentiment and currency valuations.The aftermath of the pandemic boosted investor confidence in the robust US economy, while economic indicators, trade imbalances, and geopolitical events played their part in shaping the fluctuations of the USD to INR exchange rate in 2023.Will the Indian Rupee Get Stronger Against the US Dollar in 2024?Current market sentiment indicates a bullish outlook for the USD to INR exchange rate. That means the overall market-in favor of the United States-is expected to go higher, meaning that the value of the US Dollar is expected to increase. The US Dollar is projected to experience a 1.64% rise in the next year, with the USD to INR rate anticipated to reach around ₹ 84.82. We have already begun to see the rate reach closer to that rate as the yearly average so far has been around ₹ 83.17.[Source: Coincodex]This is good news for those hoping to send money to India in 2024 as the rate leans more favorably for the US Dollar. It is, however, unfortunate news for those wanting to convert their Indian Rupee to travel to the United States, study in the USA, etc. 2024 USD to INR ForecastAs we peer into the crystal ball for 2024, as stated before, the current sentiment in the USD to INR market is currently estimated to be bullish. The 14-day RSI reading is 53.64. Forecasts suggest an upward trajectory for the USD to INR exchange rate in the coming months. Projections for the next six months indicate a potential 1.42% increase, bringing the exchange rate to ₹ 84.64. Looking further into the future, as stated earlier, the one-year forecast anticipates a 1.64% rise, resulting in a rate of ₹ 84.82.2024 Monthly USD/INR ForecastThis all can be very overwhelming for those of us unfamiliar with how to navigate market fluctuations or even interpret terminology used by experts when discussing the exchange rate and market health. That is why we are providing you with a monthly breakdown with the predicted exchange rates for each month in 2024, that way you can make the best decision for when you would like to send money from the US to India or send money from India to the US. The following INR USD forecasts are based on information that is currently available.  Depending on the extent to which key factors, such as interest rates and central bank policy match market expectations, the forecasts could be changed and turn out to be false. Please make sure to always conduct your own research and remember that future results don't depend on past performance.Dollar to Rupee forecast February 2024: At the beginning 83.06 Rupees. At the end of the month 82.81, the change for February -0.3%. Maximum 84.07, minimum 81.53. The average exchange rate is 82.87.Dollar to Rupee forecast March 2024: At the beginning 82.81 Rupees. At the end of the month 82.78, the change for March 0.0%. Maximum 84.02, minimum 81.31. The average exchange rate is 82.73.Dollar to Rupee forecast April 2024: At the beginning 82.78 Rupees. At the end of the month 82.67, the change for April -0.1%. Maximum 83.91, minimum 81.43. The average exchange rate is 82.70.Dollar to Rupee forecast May 2024: At the beginning 82.67 Rupees. At the end of the month 82.53, the change for May -0.2%. Maximum 83.77, minimum 81.29. The average exchange rate is 82.57.Dollar to Rupee forecast June 2024: At the beginning 82.53 Rupees. At the end of the month 82.61, the change for June 0.1%. Maximum 83.85, minimum 81.37. The average exchange rate is  82.59.Dollar to Rupee forecast July 2024: At the beginning 82.61 Rupees. At the end of the month 82.82, the change for July 0.3%. Maximum 84.06, minimum 81.58. The average exchange rate is 82.77.Dollar to Rupee forecast August 2024: At the beginning 82.82 Rupees. At the end of the month 83.16, the change for August 0.4%. Maximum 84.41, minimum 81.91. The average exchange rate is 83.08.Dollar to Rupee forecast September 2024: At the beginning 83.16 Rupees. At the end of the month 83.63, the change for September 0.6%. Maximum 84.88, minimum 82.38. The average exchange rate is 83.51.Dollar to Rupee forecast October 2024: At the beginning 83.63 Rupees. At the end of the month 83.82, the change for October 0.2%. Maximum 85.08, minimum 82.56. The average exchange rate is 83.77.Dollar to Rupee November 2024: At the beginning 83.82 Rupees. At the end of the month 83.20, the change for November -0.7%. Maximum 84.45, minimum 81.95. The average exchange rate is 83.36.Dollar to Rupee December 2024: At the beginning 83.20 Rupees. At the end of the month 84.15, the change for December 1.1%. Maximum 85.41, minimum 82.89. The average exchange rate is 83.91.Sending Money from the US to India in 2024For those looking to send money from the US to India in 2024, numerous options and companies offer highly competitive rates. Some even provide first-time rates higher than the economic USD to INR exchange rate. Utilizing a comparison tool can help individuals find the best way to send money, ensuring they get the most favorable rates for their transactions. Use the CompareRemit comparison tool to find the best USD to INR exchange rate. How to Get the Best USD to INR Rate in 2024Compare and contrast the top money transfer companies on the market to find the best USD to INR exchange rate using our comparison tool.  Protip: Many companies offer a first-time user rate that is significantly better than their regular rate. Make sure you utilize those offers to get the best exchange rate that you can. ConclusionAs the USD to INR forecast for 2024 unfolds, staying informed about currency dynamics is essential for making informed financial decisions. Whether conducting international transactions for business or personal purposes, understanding exchange rate trends and exploring efficient remittance methods empower individuals to navigate the currency landscape with confidence and foresight.However, do keep in mind that the forecasts are often inaccurate and subject to correction. The USD to INR forecasts are based on the rate of inflation, central bank policies, and the health of the US and Indian economies.Send money home to India today while the USD to INR exchange rate is in your favor! Compare rates and providers by using our online comparison tool.

UK to Philippines
How to Send Money from the UK to Philippines

Sending money from the UK to the Philippines is a significant financial transaction that requires careful consideration to ensure efficiency, cost-effectiveness, and security. As an immigrant or someone supporting family and loved ones back home, understanding the process and selecting the right remittance service is crucial. Do not worry. CompareRemit is here to guide you through all of your remittance needs. In this guide, we'll walk you through the essential steps, considerations, and top remittance providers to help you make informed decisions and maximize the value of your money transfers.Things to Consider Before Transferring Money from UK to PhilippinesBefore initiating a money transfer, it's crucial to grasp two essential factors: exchange rates and transfer fees. The exchange rate refers to the value of one currency relative to another. For example, if the GBP to PHP exchange rate is 1 GBP to 71.81 PHP, it means one British pound is equivalent to 71.81 Philippine pesos. Transfer fees, on the other hand, are charges imposed by remittance companies for their services.It's worth noting that exchange rates and transfer fees can vary significantly across different companies. While some providers may offer competitive exchange rates, they might compensate by charging higher transfer fees. Conversely, others may provide lower transfer fees but offer less favorable exchange rates.It's essential to find a balance between favorable exchange rates and reasonable transfer fees to maximize the value of your remittance. Some companies may offer promotional rates or discounts for first-time users, while others may have ongoing promotions or loyalty programs. Comparing different remittance providers using platforms like CompareRemit can help you find the best combination of rates and fees for your transfer.Will GBP to PHP Increase or Decrease?As of the latest data, the GBP to PHP exchange rate stands at 1 GBP to 71.81 PHP. CoinCodex forecasts a potential 9.43% rise in the GBP to PHP exchange rate over the next year, reaching approximately ₱ 78.22 at some point during the year. While exchange rate predictions provide valuable insights, they are subject to change based on various economic and geopolitical factors. Monitoring exchange rate trends regularly can help you identify favorable opportunities for sending money to the Philippines.When is the Best Time to Send Money from the UK to Philippines?Determining the best time to send money involves strategic planning and analysis of exchange rate fluctuations. Referencing forecast predictions and using comparison sites like CompareRemit can help you track the best exchange rates and promotional offers from top remittance companies. By timing your transfers during periods of favorable rates or promotions, you can optimize the value of your remittance and save on transfer costs.How to Transfer Money from the UK to PhilippinesOnce you've finished comparing and contrasting the top providers and selected the best remittance provider through CompareRemit’s Compare Tool, the next step is to initiate the money transfer. Remittance services typically offer various transfer methods, including online transfers, bank deposits, and cash pickups.Sign up: Create an account with your chosen remittance provider and complete any required verification steps.Enter recipient details: Provide the recipient's information, including their name, address, and contact details.Select transfer amount: Enter the amount you wish to send, ensuring it meets any minimum or maximum transfer limits.Choose delivery method: Select the preferred delivery method for the recipient, such as bank deposit or cash pickup.Review and confirm: Double-check the transaction details, including exchange rate and fees, before confirming the transfer.Complete the transfer: Submit your payment and wait for confirmation of the successful transfer.Top Remittance Providers for Transferring Money from the UK to the PhilippinesXe Money TransferXe offers competitive exchange rates, low fees, and fast transfers, making it an excellent choice for sending money from the UK to the Philippines. Their user-friendly platform ensures a seamless remittance experience for users.Wise Money Transfer Formerly known as TransferWise, Wise provides transparent exchange rates and minimal fees, allowing users to send money with confidence. With millions of satisfied customers worldwide, Wise offers a reliable and cost-effective solution for international transfers. Instarem Money TransferInstarem offers competitive rates, no hidden fees, and real-time tracking, ensuring transparency and security throughout the transfer process. With Instarem, users can send money to the Philippines quickly and conveniently.PassToPassTo specializes in tailored remittance solutions for migrants, offering flexibility, convenience, and personalized service. With a focus on customer satisfaction and reliability, PassTo is an excellent choice for sending money to the Philippines and beyond.Frequently Asked QuestionsQ: What are the best rates from GBP to PHP?A: As exchange rates fluctuate, it's advisable to monitor platforms like CompareRemit to find the best rates from GBP to PHP offered by various remittance providers.Q: When is the best time to transfer money from the UK to Philippines?A: Monitor exchange rate trends and utilize comparison tools to identify favorable transfer windows.Q: How can I compare money transfer services from the UK to Philippines?A: Utilize comparison sites like CompareRemit to compare money transfer services based on exchange rates, fees, transfer speed, and customer reviews.Q: What is the best way to transfer money to the Philippines online?A: The best way to transfer money to the Philippines online is to use a reputable remittance provider, ensuring competitive rates and secure transactions.Q: How can I ensure the safety and security of my money transfers?A: Choose reputable remittance providers with robust security measures in place to safeguard your transactions.

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