This focus note explains the importance of savings services for the clients in the north east region of India and brings forth the finding that poor do save, and loose their savings in the absence of any formal source. It mulls over on savings mechanisms adopted by the poor some of which are—formal—not as per people’s needs, semi formal such as through SHGs and MFIs and then informal mechanisms such as savings at home, with NBFCs, ROSCAs, and ASCAs. It suggests four products based on various attributes—security, accessibility, returns and preferences of low income people—general savings, short term recurring, long term recurring and monthly/annual income fixed deposit accounts.

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