This case study describes the design, implementation and results of piloting a debt-to-savings product in India, highlighting lessons learnt from the product innovation and implementation process. The Poultry Loan product couples a loan with a commitment-savings device and targets particularly those microfinance users who cover recurrent expenses through borrowing. The case study describes the problem and the innovative product idea that addresses it, outlines the financial product prototype, provides an assessment of the various aspects of the product pilot, namely the product implementation, the product features and the product framing, and concludes with an overview of the lessons learned.

New insights into the economic lives of the poor have revealed that basic money management is a primary financial concern for low-income households. Irregular and unpredictable cash inflows along with inadequate savings devices often result in situations of short-term cash shortage for many households. CIFD developed an Emergency Loan Product that provides an easily accessible loan for low-income households to meet basic needs that they cannot afford in the immediate term. This paper presents the results of the product assessment of the Emergency Loan as a tool for emergency finance.

Financing working capital with debts is a large burden to many small business owners. This Focus Note explains how psychological obstacles prevent poor families from saving money to obtain the means for their investments. Furthermore, it outlines a behaviorally informed loan product that helps users to break out of cycles of persistent borrowing and move towards building up savings.

Commonly, microcredit is perceived to be a key weapon against poverty and in high demand among poor households because of the apparent high-return business opportunities they face. Drawing on the findings of 2 large field experiments, however, this Focus Note presents a challenge to the widespread assumption of a large demand for formal micro credits among the poor. It concludes that credit relations between lenders and borrowers are much more complex than many observers may anticipate.

Not all health issues are unexpected shocks to the lives of people. Certain challenges are predictable, which allows a better coping with their financial ramifications. This Focus Note outlines an innovative financial product that exploits the predictability of birth delivery to give women the means to meet the upcoming expenses associated with that.