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  • Chit funds are not affected by market fluctuations
  • It inculcates the habit of compulsory and regular savings
  • It earns dividends every month. So the nett rate of return proves to be attractive
  • It is much easier and faster to get a lump sum loan than a regular bank in case of an emergency
  • From a low-income homemaker to a businessman, anybody can join a chit fund