Most of the micro enterprises in the MSME sector transact largely in cash and hence do not have accurately recorded financials.
Lack of financial documentation in this segment might be challenging task for the credit assessment process. However, Veritas has put in a robust Credit Screening Process, with a keen focus to understand and address the perceived risk of these untested micro enterprises of MSME segment in the absence of such documents.
Veritas loans, where it is found necessary would be required to be secured by collateral of a property. Given the way the land records are maintained and the nature of documentation, it is most likely to face challenging issues like properties owned by minors, properties passed on through un registered partition deeds, inherited land without proper supporting documents, built on encroached land etc. Veritas customers, who belong to the socially disadvantaged segment of the society, are most likely to be unaware of these legal issues. Veritas Legal scrutiny plays a critical role in helping the customers, wherever possible offering legal support and services to ensure that the customers get the properties secure and get clear and marketable title deeds of their properties.