The Foundation for Poverty Alleviation is a welfare fund organization called by the government. A few wealthy households donate or sponsor to raise some funds, which are specially used to support poor households through loans. There are many forms of poverty alleviation funds, which can be divided into three types according to the nature of fund aggregation and distribution: working capital for poverty alleviation, which raises funds by mobilizing social donations for free, and directly distributes part of the funds to poor households without interest, but clearly defines the turnover period and collects funds regularly to ensure the continuous increase of funds, and the other part is used to subsidize the expenses incurred in providing free services to poor households.

The Poverty Alleviation Savings Association will mobilize the first rich households to save, and the savings association will pay the depositors' interest according to the bank standard, while the savings will be paid to the poor households at low interest, and the attached interest will be solved by the organizers or sponsors of the savings association from other income. Temporary loss-giving groups are mostly established to solve the difficulties caused by the special circumstances of a specific object, and then disappear automatically after the difficulties are solved. The foundation for poverty alleviation is organized by township governments and village residents' committees. Its business activities are basically non-operating, not for profit, and there are many social welfare factors, but its business content is capital lending, which belongs to low-level cooperative financial organizations.