AICMEU’s Baitulmal Cooperative Credit Society Ltd.
O Ye Who Believe Fear Allah And Give Up What REMAINS OF Your Demand for Usury, IF Ye Are Indeed Believers.
If Ye Do It not Take Notice of War From ALLAH and HIS APOSTLE, But if ye turn back Ye shall have Your
capital sums: Deal not Unjustly And Ye Shall Not Be Dealt With Unjustly. (Al-Quran : 2-278, 279)
AICMEU’s Baitulmal Cooperative Credit Society Ltd., began its operation in the year 1984-85 with a meager amount of Rs. 25,000/- only. The society has its head office at 1st Floor, Vazir Building, 179, I. R. Road, Mumbai - 400003 with two other branch offices at Kurla and Govandi. Society is basically serving the unorganized sector of Greater Mumbai city.
The society is working on interest free basis and mainly serving the poor section of the society. All the branches of the society are located in suburb and slums of Mumbai where people belong to low-income group. The society induces the members for thrifts / savings and offers smaller amount loans on only service charge basis. The operational cost being proportionately charged from the members depending on their outstanding loans.
The Society is economically self-sustaining; but if we could manage to disburse larger amount of loans, the service charges would be competitive to the Government sponsored subsidized loans from the conventional banks and, more importantly, attract the general public towards principle and practice of Islamic banking and finance.
So, far the society have provided interest - free loans worth over Rs. 13,38,03,891 to 6,688 members. The maximum limit of any loan was Rs. 1,00,000/- for maximum repayment period of three years. Presently the average annual service charges collection on loan of Rs. 1,00,000 is around Rs. 6,400/- only.