What does fraternity mean?
Mutual aid society, commonly known as "bidding meeting", "holding meeting" and "presenting meeting", is legally called "cooperative society". It is a kind of small credit loan among the people, popular in Taiwan Province Province, Hongkong and some overseas Chinese communities, and has the function of earning interest and raising funds. The promoters of a mutual aid society are called "club heads" (or club heads), and the others who participate in the mutual aid society are called "ordinary members" (or club feet).
In the early years, Taiwan Province Province and Hongkong flourished. At present, with more and more wealth management products, mutual aid societies are gradually declining. However, in recent years, some people have used internet technology to revive the mutual aid association, which is called the network standard meeting.
After the first meeting, all members can be charged the first full club fee, and then the club fee paid by each member must be paid to the winning member. Mutual aid associations can be divided into "internal standard" mutual aid associations and "external standard" mutual aid associations according to the different ways in which members pay their membership fees: internal standard mutual aid associations: the amount that winning members should pay each period is the amount of membership fees agreed at the beginning of the meeting; The unsuccessful member will pay the membership fee agreed at the beginning of the meeting MINUS the bid (interest) of the successful member during this period.
Benefits:
Members will expect when to bid according to their own situation. Take the internal bidding meeting as an example. People who are in urgent need of money usually tend to win the bid first to obtain funds, which is also the purpose of holding a mutual aid meeting. Members who are well-funded and not eager to cash out often win the bid in the end because they earn the most interest.
In other words, the winner in the meeting has no advantage in timeliness and interest, so most people don't want to win the bid halfway. Generally speaking, when no one bids, the winner will be selected by drawing lots at the lowest interest rate. In some mutual aid associations, the order of winning the bid is stipulated at the beginning of the meeting, and the leaders should arrange their relatives and friends to win the bid in the middle.
Every month, there will be a bidding meeting in the meeting, and the highest bidder can take away all the membership fees for that month. The membership fee is fixed, but all the membership fees received by the successful bidder are incomplete.