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Abstract
Indian economy is cursed by the private money lenders particularly in the rural areas by centuries. To curve them, a concept of Self Help Group was evolved in India. In this study attempt has been made to check the performance of SHGs by taking one village of District Nawanshahr (Punjab). A sample of 30 women is taken and a questionnaire containing 18 questions is prepared to collect the data. The research shows that without any shred of doubt these SHGs are performing in a fantastic way for improving the standard of living of poor villagers by providing them financial facilities. But as these groups are new establishments some weaknesses are also there but they can be improved.