Mudra Loan Scheme 2018

Welcome To this blog here in this site you can get latest details about Pradhan Mantri Mudra Loan Yojana (PMMY) Details & Documents Required, Interest rates, Eligibility, Application Form download for all banks.

People have a passion to raise and initiate their business, but they get stuck financially sometimes. They won’t find support to start up their business. Thus for them, the Indian government has commenced Pradhan Mantri Mudra Yojana scheme under the currency bank, which was started by Prime Minister of India Narendra Modi on April 8, 2015, in New Delhi.

The main aim of Pradhan Mantri Mudra Yojana scheme is to give loans easily for self-employed and creating work through small enterprises. The Pradhan Mantri Mudra Loan Yojana has so many benefits like types of loans, Mudra loan online apply and interest rates.

Benefits/ Advantages of Pradhan Mantri Mudra Yojana:

  • Pradhan Mantri Mudra Yojana provides loan for all the business types.
  • The scheme provides you a loan of 50,000 to 10 lakhs of an amount.
  • You will be benefited the loan scheme without any guarantor.
  • You will be not charged any kind of fees in processing Pradhan Mantri Mudra Yojana scheme.
  • Mudra bank loan Yojana comes with the Mudra card that would be like the credit card.
  • The interest rate would be applicable as per the RBI guidelines

Pradhan Mantri Mudra Yojana loan Eligibility :

  • The applicant must be a citizen of India.
  • His/Her income must be nonfarming based.
  • Uncooperative Entities. 
  • Mudra Bank loan Yojana is also eligible for Vegetable vendors, truck operators, fruit vendors, shopkeepers, repair shops, paper/food processing units, artisans etc.
  • The funds of Mudra Yojana are especially invested for business.

This Yojana provides a loan to various newbie entrepreneurs for multiple purposes such as purchasing machinery, commercial purposes, for business installments loans, renovation of infrastructure.

Each and Every Indian citizen that can meet this eligibility criterion can apply for the scheme. Whether the men or women, all have rights to apply for the loan for a private limited company, proprietary concern, partnership firms, and other entities through the Pradhan Mantri Mudra Yojana scheme.

Types of Loan Under Mudra Scheme:

The government has issued three Mudra Scheme for Pradhan Mantri Mudra Yojana. The list is mentioned hereby:

  • Shishu Loan: This loan type is for those who need fewer funds for their business. Under this scheme type, the applicant can get a loan up to Rs 50,000.
  • Kishor Loan: The loan type holds the funds that are required for the entrepreneurs that have already started their business, but need to improve more. The fund they may get is in between Rs 50,000 to Rs 5 lakhs.
  • Tarun Loan: The loan type holds the highest amount for which the applicant can apply, but with some conditions. The applicant will get the loan above Rs 5 Lakh and up to Rs 10 lakh.

PRADHAN MANTRI MUDRA YOJANA (PMMY)

Parameters Features
Nature of Facility Working Capital and Term Loan
Purpose Business purpose, capacity expansion, modernization
Target Group Business Enterprises in Manufacturing, Trading, and Services sector including allied agricultural activities.
Eligibility Criteria Existing & New units
Quantum of a loan (Min/Max) Maximum loan amount: Up to Rs 10 Lacs

  • Loans up to Rs.50,000 are categorized as SHISHU
  • Loans from Rs.50,001 to Rs.500,000 are categorized as KISHORE
  • Loans from Rs.500,001/- to Rs.10,00,000/- are categorised as TARUN
Margin (%) Up to Rs. 50,000/- Nil
Rs. 50,001 to Rs. 10 lacs: 10%
Pricing Competitive Pricing Linked to MCLR
Collateral Security Nil. To be covered under CGFMU.
However, as Primary Security, Hyp. of P&M for TL and Hyp. of Stocks & Receivables for CC to be done.
Repayment Period WC/TL: in 3 – 5 yrs including a moratorium of up to 6 months depending on the activity/ income generation.
Review of WC/TL to be done annually.
Processing Fee/Upfront Fee
  • Nil for Shishu and Kishore to MSE Units
  • For Tarun: 0.50%(plus applicable tax) of a Loan amount
Other Conditions
  • The loans under Mudra Scheme are guaranteed by Credit Guarantee for Micro-Units (CGFMU) and the same is provided through National Credit Guarantee Trustee Company (NCGTC).
  • The guarantee cover is available for five years and hence for advances granted under Mudra Scheme, the maximum period is 60 months.
  • Leads are now available in Udyami Mitra Portal (www.udyamimitra.in). The site can be accessed by Branches with Username and Password
  • All Branches to issue MUDRA RuPay Card for all the eligible CC accounts.

Mudra loan Eligibility

Mudra Loan Benefits

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