Leaflet cautions against investing in chit funds

Amid controversies over operations by various chit funds and non-banking financial companies in West Bengal, a leaflet of microfinance department in the state has asked investors to keep their money in small savings schemes in post offices.

"Investors should secure their investment by depositing them preferably in small savings schemes under post offices to ensure full protection", the leaflet said.

It also cautioned the people against being trapped by the chit funds and non-banking financial companies where the fate of investment could be uncertain.

"Don't step into such allurement and get yourself cheated. The government will have nothing to do in that case," it said.