SSU Future Nidhi is a type of Non – Banking Financial Company. It is formed to borrow and lend money to its members. It inculcates the habit of saving among its members and works on the principle of mutual benefit. “Nidhi” Company is a company registered under the Companies Act, 2013 which has a sole objective of cultivating the habits of thrift and savings amongst its members. This company is recognized under Section 406 of the Companies Act, 2013.

Nidhi companies are allowed to take deposit from its members and lend to its members only. Therefore, the funds contributed for a Nidhi company are only form its members (shareholders) and used only by the shareholders of the Nidhi Company. NBFCs are wholly or partially regulated by the RBI. Nidhis are one such class of NFBCs that is only partially regulated by the RBI i.e. in reference to the matters relating to their deposit acceptance activities. Unlike section 620A of the 1956 Act, the 2013 Act under Section 406 finally defines Nidhi Companies. Depositors can choose from a wide range of deposit products with maturities ranging from 12 to 60 months at competitive rates of interest and with different features to suit the investment needs of individual Members.