Imagine turning your business dreams into real Many people wish to leave their jobs and start their own businesses but face a lack of funds. The Central Government has introduced a scheme to solve this problem and promote self-employment. Under this scheme, loans of up to Rs 10 lakh can be taken without any collateral or guarantee. If you want to start a business, this scheme can help you secure the funds to begin your journey.
To be eligible for a loan under this scheme, the applicant must meet these criteria:
- Must be an Indian citizen.
- Should not have a history of bank defaults.
- Must be at least 18 years old.
These conditions ensure that the loan is accessible to responsible and eligible individuals looking to start or grow a business. To apply for a loan under the Pradhan Mantri Mudra Yojana (PMMY), you can approach any public or private bank, digital app or Small Finance Bank. The loan amount is categorized, ranging from Rs 50,000 to Rs 10 lakh, depending on the business needs. This wide range allows flexibility for small business owners to access the right level of funding for their ventures.
Advantages of PMMY Scheme
- The Pradhan Mantri Mudra Yojana (PMMY) offers loans from Rs 50,000 to Rs 10 lakh based on your business needs.
- The loan is collateral-free with no processing fee. Repayment terms range from 12 months to 5 years, with a possible extension up to another 5 years if needed.
- Interest is charged only on the amount used, not the total sanctioned loan, which means you have to give interest on the amount you withdraw and spend through the Mudra Card.
How to Apply for a Pradhan Mantri Mudra Yojana (PMMY) Loan
To apply for a Pradhan Mantri Mudra Yojana (PMMY) loan, follow these steps:
- Visit the Mudra Yojana official website: mudra•org•in
- Choose from three loan categories: Shishu, Kishor, and Tarun, based on your business needs.
- Download and print the application form.
- Fill the form and attach required documents like Aadhaar Card, PAN Card, proof of address, Income Tax Return, and passport-sized photos.
- Submit the form to your nearest bank branch. The bank will verify your details, and the loan will be processed within a month.
- For online applications, create a username and password on the website to apply directly.