National Toll Free No1800 425 00 000
National Toll Free No1800 425 00 000

Joint liability group (JLG)

Joint liability group (JLG)

Purpose / Objective

  • To augment flow of credit to tenant farmers cultivating land either as oral lessees or share croppers an small farmers who do not hae proper title of their land holding through formation and financing of JLGs.
  • To extend collateral free loans to target clients through JLG mechanism.
  • To build mutual trust and confidence between tenant farmers.


  • JLGs consist of tenant – farmers and small farmers cultivating land without possessing proper title of their land.
  • JLGs should be of similar economic status and carry out farming activities who agree to function as a joint liability group.
  • Members should be engaged in agri activity for a period not less than one year.
  • JLG members should not be a defaulter and nor from the same family.

Amount of Loan

  • Maximum amount of loan is restricted to Rs.50,000/- per individual.

Interest Rates

  • For Crop Loans :
    Amount Slab(Rs. in Lakhs) Interest Rate
    Upto 0.50 7% p.a. (under interest subvention from Govt. of India)
  • For Term Loans :
    Amount Slab(in Lakhs) Interest Rate
    Upto 0.50 BR + 0.75+1.00


  • Loan amount to be adjusted within 2 months from the date of harvest of the crop grown.


  • No collateral. However, mutual guarantee offered by the JLG members are kept on record.
* BPLR and BASE RATE – Available in Home Page