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Do you know what is Pradhan Mantri Mudra Yojana? Pradhan Mantri Mudra Yojana is the major scheme of the Indian Government. Pradhan Mantri Mudra Yojana launch date Is April 8, 2015. This scheme was launched by PM Narendra Modi. Pradhan Mantri Yojana includes three schemes i.e. Shishu scheme, Kishor scheme, and Tarun scheme. Government of India
PMMY scheme provides funds from the private sector banks, cooperative banks, PSU Banks, and Regional Rural Banks. With this scheme, you can borrow loans from banks even if you don’t have anything to pledge. Under this scheme Micro Finance Institutions, Non-Banking Finance Companies pass loans up to Rs. 10 lakh.
Pradhan Mantri Mudra Yojana Logo:
Benefits of Mudra Loan:
- Individuals can get loan amounts up to Rs. 10 lakh
- This scheme provides Collateral-free loans which means you can borrow a loan from the lender even if do not have anything to pledge
- Individuals can get low-interest rates with actual lower processing costs
- The loan covered under Credit Guarantee Schemes from Govt. of India
- This loan can be utilized as term loans, working capital loans, and overdraft installations
- All Non-farm enterprises, i.e. small or micro firms engaged in the income-generating activities can avail of Mudra loans
- Mudra loans can also provide benefits of loans at concessional interest rates to the SC/ST category
- This scheme provides lower interest rates for the Women Entrepreneurs
Features of Mudra Loan:
| Types of Mudra Schemes | Shishu, Kishor, and Tarun |
| Loan Amount | Under Shishu Scheme: Up to Rs. 50,000 Under Kishor Scheme: Rs. 50,001 – Rs. 5,00,000 Under Tarun Scheme: Rs. 5,00,001 – Rs. 10,00,000 |
| Interest Rates | As per the applicant’s profile and business requirements |
| Processing Charges | Nil, or 0.50% of the loan amount |
| Collateral/Security | Not required by Banks/NBFCs |
| Repayment Tenure | From 12 months to 5 years |
Pradhan Mantri Mudra Yojana Eligibility:
- Any citizen who has a business plan for the nonfarm sector can apply for this scheme
- Income-generating activities should be manufacturing, trading, service sector, and processing
- The income must be less than Rs. 10 lakh
- This scheme benefits individuals, artisans, shopkeepers, MSMEs, retailers, traders, small manufacturers, startups, and businesses employed in the manufacturing, trading and service sectors
Pradhan Mantri Mudra Yojana Loan Types:
Under the sponsorship of Pradhan Mantri MUDRA Yojana, MUDRA has already assembled the following schemes-
- Shishu Scheme: covering loans upto 50,000/-
- Kishor Scheme: covering loans above 50,000/- and upto 5 lakh
- Tarun Scheme: covering loans above 5 lakh and upto 10 lakh
Pradhan Mantri Mudra Yojana includes three schemes Shishu, Kishor, Tarun scheme. There is no sponsorship for the loan given beneath PMMY. If the loan proposal is linked to some Government scheme, wherein the Government is providing capital subsidy, it will be eligible under PMMY also.
How To Apply Pradhan Mantri Mudra Yojana?
- Individuals who want to apply for the PMMY can approach the financial institution’s local branch in their area
- Financial institutions- Regional Rural Banks, Cooperative Banks, PSU Banks, Foreign Banks, Private Sector Banks, Non-Banking Finance Companies
- Sanction of the loan depends on the eligibility criteria of the respective lending organization
Pradhan Mantri Mudra Yojana Apply Online:
- You can get the Pradhan Mantri Mudra Yojana Application form online
- Download the application form from the Pradhan Mantri Mudra Yojana Official Website
- Fill in the details mentioned in the form
- Submit this form to your nearest bank branch and complete the bank formalities
- The formality procedure of different banks is slightly changed
Pradhan Mantri Mudra Yojana Documents Required:
- Duly filled application form
- Passport size photographs
- Proof of identity– Self attested copy of Voter’s ID Card / Driving Licence / PAN Card / Aaadhaar Card / Passport / Photo Ids issued by Govt. authority etc.
- Proof of Residence– Recent telephone bill / electricity bill / property tax receipt (not older than 2 months) / Voter’s ID Card / Aaadhar Card / Passport of Individual / Proprietor / Partners Bank passbook or latest account statement duly attested by Bank Officials / Domicile Certificate / Certificate issued by Govt. Authority / Local Panchayat / Municipality etc.
- Quotation of Machinery / other items to be purchased
- Name of Supplier / details of machinery / price of machinery and / or items to be purchased
- Proof of Identity / Address of the Business Enterprise– Copies of relevant Licences / Registration Certificates / Other Documents pertaining to the ownership, identity of address of business unit, if any
- Proof of category like SC / ST / OBC / Minority etc.
Note: For all PMMY loans, the following are to be noted
- No processing fee
- No collateral
- Repayment period of loan is extended up to 5 years
- Applicant should not be defaulter of any Bank / Financial Institution
Sectors covered:
- Land Transport Sector / Activity – Which will inter alia support units for purchase of transport vehicles for goods and personal transport such as auto rickshaw, small goods transport vehicle, 3 wheelers, e-rickshaw, passenger cars, taxis, etc.
- Community, Social & Personal Service Activities – Such as saloons, beauty parlours, gymnasium, boutiques, tailoring shops, dry cleaning, cycle and motorcycle repair shop, DTP and Photocopying Facilities, Medicine Shops, Courier Agents, etc.
- Food Products Sector – Support would be available for undertaking activities such as papad making, achaar making, jam / jelly making, agricultural produce preservation at rural level, sweet shops, small service food stalls and day to day catering / canteen services, cold chain vehicles, cold storages, ice making units, ice cream making units, biscuit, bread and bun making, etc.
- Textile Products Sector / Activity – To provide support for undertaking activities such as handloom, powerloom, chikan work, zari and zardozi work, traditional embroidery and hand work, traditional dyeing and printing, apparel design, knitting, cotton ginning, computerized embroidery, stitching and other textile non garment products such as bags, vehicle accessories, furnishing accessories, etc.
Pradhan Mantri Mudra Yojana Bank List:
| Axis Bank | Indian Bank |
| Bajaj Finserv | Karnataka Bank |
| Bank of Baroda | Kotak Mahindra Bank |
| Bank of India | Lendingkart Finance |
| Bank of Maharashtra | Punjab National Bank |
| Canara Bank | Saraswat Bank |
| Central Bank of India | State Bank of India |
| HDFC Bank | Syndicate Bank |
| ICICI Bank | Tata capital |
| IDFC First Bank | Union Bank of India |
| IDBI Bank | YES Bank |
Here, we covered the piece of information about the PMMY. For the Pradhan Mantri Mudra Yojana online application, registration process, and more information related to the Government Schemes, you can visit the official website.
You can also get added information about this scheme using Pradhan Mantri Mudra Yojana customer care number- 1800-180-1111, Pradhan Mantri Mudra Yojana helpline number- 1800-11-0001.