Micro-credit has gained a lot of prominence in community development today.It is being written off by many as not being very effective in poverty alleviation.We have found that micro-credit programs are successful and help in poverty alleviation only if they are done with a proper methodology.Many institutionalized business approaches in micro-credit are being criticized for their profit-maximizing approach. Such approaches have to be replaced with a self-governing approach where the poor are given the authority to make their own decisions and run their own program. This has been very successful in India as the government has many programs to partner with the self-help groups that are facilitated among the poor.TENT is advocating this approach and has established working models through the trainees in different parts of India.