1. Pure Qarz-e-Hasna (0% Markup)
We charge strictly zero markup, zero interest, and zero late fees. Every rupee repaid goes toward loan principal.
Why HEWT?
What sets our interest-free Qarz-e-Hasna model apart from conventional commercial microfinance in Pakistan.
Our Distinct Advantage
8 Key Pillars That Define HEWT
Built from the ground up to empower beneficiaries without debt traps, hidden costs, or predatory practices.
2. 100% Cashless Operations
Loans are disbursed directly to equipment and material vendors, ensuring funds are invested directly in productive tools.
3. Revolving Capital Multiplier
Recovered principal immediately recycles to finance new borrowers. A single donation compounds into dozens of transformed lives.
4. Women at the Core (70%+)
Over 70% of loans support female breadwinners, directly boosting children's schooling, household nutrition, and family health.
5. Mentorship-First Approach
We offer financial literacy, pricing advice, and business support circles, transforming survival workers into confident micro-entrepreneurs.
6. Doorstep Service Delivery
Our field officers travel to remote villages and urban settlements, sparing poor families travel costs and lost working days.
7. SECP Section 42 Registered
Formally licensed non-profit with regular statutory reporting, external chartered audits, and Shariah oversight.
8. 100% Historical Recovery
Built upon mutual dignity, community guarantees, and transparent agreements, resulting in one of Pakistan's highest recovery rates.
Fundamental Differences
How is Qarz-e-Hasna different from Micro Financing?
Qarz-e-Hasna and microfinancing are both financial assistance mechanisms, but they differ significantly in terms of their principles, objectives, and operation.
Qarz-e-Hasna
Micro Finance
Interest-Free
Qarz-e-Hasna is an interest-free loan provided typically within a community or charitable context. The lender does not charge any interest on the borrowed amount.
Interest-Bearing
Microfinancing involves providing small loans to individuals or small businesses, typically in underserved or low-income communities. These loans come with interest rates and are provided by microfinance institutions (MFIs).
Charitable and Benevolent
It is primarily based on the principles of charity and benevolence. The focus is on helping those in need without seeking financial gain in return.
Financial Inclusion
Microfinancing aims to promote financial inclusion by providing access to credit and financial services to those who are excluded from traditional banking systems.
No Profit Motive
The lenders expect the borrowed amount to be returned but without any interest. The primary motivation is to assist the borrower rather than earn a financial return.
Profit-Oriented
Microfinance institutions are usually for-profit organizations. They charge interest on loans to cover operational costs and generate income.
Enterprise Empowerment
HEWT's Qarz-e-Hasna for Small Business Establishment
HEWT's Qarz-e-Hasna program is dedicated to supporting the establishment of small businesses for individuals, with an emphasis on supporting women while also extending this opportunity to men — all of whom must meet HEWT's criteria for deserving applicants. The program is designed to empower financially disadvantaged individuals who have the potential to run small businesses and are committed to returning the borrowed amount through easy 12 monthly installments.
Key elements of this initiative
Financial Assistance for the Deserving
Entrepreneurial Potential
Integrity and Repayment Commitment
Supporting Small Businesses
Empowering the Disadvantaged
Focused on Deserving Applicants
12 Monthly Installments
Empowering Through Entrepreneurship
HEWT's Qarz-e-Hasna program for small business establishment is centered on financially disadvantaged individuals who possess the capability to operate small businesses and have the integrity to fulfill their repayment commitments. This initiative aligns with HEWT's mission of fostering economic empowerment and self-reliance within deserving communities.
Financial Terms
Commercial Microfinance vs. HEWT Foundation
Understanding the structural differences between commercial debt lending and dignity-based Qarz-e-Hasna.
| Feature | Commercial Microfinance | HEWT Foundation Model |
|---|---|---|
| Interest / Profit Charged | 25% – 45% APR effective interest | 0% (Completely Free of Riba) |
| Disbursement Channel | Cash handed to borrower (High diversion risk) | 100% Cashless (Direct to vendor) |
| Processing & Application Fees | PKR 1,500 – 4,000 deducted upfront | PKR 0 (100% Free of charges) |
| Late Penalty Fees | Compounded penalties & aggressive debt recovery | Zero late fees; empathetic rescheduling |
| Capital Recycling | Profits paid out to corporate shareholders | 100% Recycled to next waiting family |
| Business Support | Transactional financing without coaching | Mentorship, pricing & peer network |