Are you aware of the PM Mudra Loan Scheme? Have you ever heard about this scheme before? If not, then you’re at the right place as we’ll help you learn about the pre-existing scheme and the new updates for the Mudra Loan Yojana in 2024.
Talking about the PM Mudra Yojana, this is particularly a loan scheme with reasonable Bank Interest Rate. This scheme was introduced for the welfare of the needy and economically disadvantaged people. Through this scheme, the Indian government provides loans to business start-ups and small businesses to help them grow.
In this article, you can find the details regarding the Mudra Loan Scheme so that you don’t miss the golden opportunity to initiate your business. If you also own a business engaged in the non-farm sector, the PMMY can extend you exceptional credits for your MSEs. Keep reading to learn more.
Table of Contents
Indian Govt Mudra Loan New Update 2024: Overview
| Scheme Name | Pradhan Mantri Mudra Yojana |
| Scheme Started From | 08 April 2015 |
| Who will get the benefit From | Non-farm small, Non-corporate and Small Enterprises |
| Loan Amount Details | Starting from Rs. 50k to Rs. 10 Lakh |
| Types of Loan | Three |
| No. of PMMY Loans Issues | 10778660 |
| Amount Sanctioned | Rs. 103968.72 Cr |
| Amount Disbursed | Rs. 99177.72 Cr |
| Govt Mudra Loan Website | Official website of Mudra |
| Udyamimitra Mudra Loan Link | Official Link of Udyamimitra |
What Is PM Mudra Yojana?
This PPMY (Pradhan Mantri Mudra Yojana) is launched in April 2015 by the Government to give financial support of up to 10 Lakh to non-farm small, non-corporate and micro enterprises in India. These loans are basically divided into 3 parts:
- Shishu (Loans up to ₹50,000)
- Kishore (Loans between ₹50,000 and ₹5 lakhs)
- Tarun (Loans between ₹5 lakhs and ₹10 lakhs)
Prime Minister Low Interest Loan Scheme in India
The Mudra loan is provided to small to medium-sized business owners. You can also apply for a central government loan if you wish to start your business. This scheme categorizes the loans into three particular types:
Shishu Loans:
Anyone who is applying for the Shishu loan will be provided INR 50,000 without any interest on the approved loan. This could be an ideal choice for new business startups.
Kishor Loans:
Applicants opting for Kishor loans will be getting an amount of INR 50,000 to 5 lakhs. This amount is suitable for the businesses and ventures that have been in operation for a while.
Tarun Loans:
The Indian Government provides the Tarun loans in which the amount remains to be in between 5 lakhs to 10 lakhs. This amount could be ideal to expand and scale up the business.
Related
- Ayushman Card Registration 2024
- Ladli Behna Yojana Payment Status 2024
- Awas Yojana Registration 2024
- PM Vishwakarma Yojana 2024
Benefits Of The Mudra Loan Scheme
When we talk about the benefits of the Mudra Loan scheme, you may need to know the following points:
- It’s a sort of financial support to the weaker and economically disadvantaged sector.
- The scheme doesn’t require any collateral so there’s no upfront fee as well.
- There’s no interest on the Shishu loan while other loans also have minimal interest with the benefits of governmental subsidies.
- You can easily track the loan status using the “Udaymitra” portal.
- This scheme is highly beneficial for women entrepreneurs as their business may make them independent and confident.
- The amount received through the loan may also be used for purchasing the raw materials and additional equipment.
Pradhan Mantri Mudra Loan Eligibility
The eligibility criteria for the Mudra Loan Apply varies according to the type of business you own. However, some common eligible applicants may include the following:
- Individuals
- Sole proprietorships
- Partnership firms
- Private limited companies
- Public companies
- Other legal entities
Apart from this, you must also be aware of some restrictions or requirements for the Mudra Loan application. Here are some worth considering points:
- The applicant’s credit history must be satisfactory and they cannot have defaulted on any loans from banks or other financial institutions.
- For the intended project, individual borrowers could require certain qualifications, experience, or expertise.
- If required, educational qualifications are assessed in light of the demands and nature of the planned economic activity.
- You must also have a well-prepared proposal or plan for the venture or business you’re planning to invest in.
Documents Required For The Application
Any person who is going to apply for the Mudra Loan Yojana must have the original copies of the following documents:
- Aadhar Card
- Pan Card
- GST Number
- Business Registration Details/ Udyam Portal Details
- Cost Of Machinery and Equipment (if any)
- Bank Account Details
- At least 1-year balance sheet of the business
- GST Return Information
How To Fill Pradhan Mantri Mudra Yojana Application Form Online?
If you prefer PM Loan Scheme Online Apply, you may follow the steps and instructions mentioned below. Ensure that you have all the required documents with validity proof to get assured of the loan approval.
Step 1: Visit the official PM MUDRA website and choose the Udyamimitra portal.
Step 2: Select “Apply Now” under Mudra loan.
Step 3: Choose from the following options: Entrepreneurs-in-training, seasoned business owners, and independent contractors
Step 4: After that, enter the applicant’s name, email address, and mobile number to generate an OTP.
After Successful Registration
- Step 1: Complete the Personal and Professional Information fields.
- Step 2: Click “Loan Application Center” and apply, or select hand-holding agencies if assistance is needed with project proposals, etc.
- Step 3: Decide whether a loan category—Mudra Tarun, Mudra Kishore, or Mudra Shishu—is needed.
- Step 4: The applicant must next choose an industry category, such as manufacturing, services, trading, or activities related to agriculture, and fill out the business information form, which includes the business name and activity, among other things.
- Step 5: Complete the remaining fields with the owner’s details, current banking and credit facilities, suggested credit facilities, estimated future costs, and preferred lender.
- Step 6: Attach all necessary documents, such as the applicant’s photo, signature, proof of identity or business enterprise address, and ID and address proof.
- Step 7: Following submission, an application number is generated; this number must be noted for future use.
PM Mudra Loan 2024: Current Latest Updates
Apart from the online portal, interested applicants may also consider the offline method to apply for the PM Mudra Loan. Though big business owners are not eligible to apply for this scheme, only small to medium-sized businesses may avail the PM Mudra Loan 2024. It’s important to note that multiple banks and intermediary institutions may help you fill out the application form. You may consider these authorities:
- Public Sector Banks
- Private Sector Banks
- State-operated Cooperative Banks
- Rural banks from the regional sector
- Micro Finance Institution (MFI)
- Non-Banking Finance Companies (NBFC)
- Small Finance Banks (SFBs)
- Other financial intermediaries approved by Mudra Ltd. as member financial institutions
FAQs
Ques 1. What age required to qualify the Mudra Loan?
Ans. Must be 18 years or older including women and business must be located in India.
Ques 2. What are Schemes covered under MUDRA?
Ans. There are 3 main Schemes covers under i.e. Shishu, Kishor, Tarun which covering loans from 50k to 10Lakh.
Ques 3. Is PM mudra yojana is zero percent interest rate?
Ans. No. Interest rate will be charged from the Bank and it is advised to keep that rate low as per RBI guidelines.
Ques 4. Is there any Subsidy under PMMY?
Ans. There is no subsidy provide under this Scheme.