What is Pradhan Mantri Mudra Yojana
The Pradhan Mantri Mudra Yojana (PMMY) is a scheme of the Government of India launched by the Hon'ble Prime Minister on April 8, 2015 to extend affordable credit to micro and small enterprises. Loans under PM mudra loan scheme providing loans up to Rs. 10 lakh to the non-corporate, non-farm small/micro enterprises. Mudra Loan Scheme will aim to increase the confidence of the aspiring young person to become first generation entrepreneurs as also of existing small businesses to expand their activities.
Types of Mudra Loan
The MUDRA loans are extended under following three categories:
Shishu: Loans up to Rs. 50,000/-
Kishore: Loans from Rs. 50,001 to Rs. 5 lakh
Tarun: Loans from Rs. 5,00,001 to Rs. 10 lakh
Features of Mudra Loan:
The maximum Mudra Loan amount Upto Rs. 10 lakh
No hidden charges
No collateral required
No guarantor/ security required
Easy online application process
Lower interest rates
Easy EMI repayment options
The processing fee is Zero for Shishu and Kishore loans
Mudra Loan Eligibility Criteria
- Individuals
- Proprietary concern
- Partnership Firm
- Private Ltd. Company
- Public Company
- Any other legal forms
The applicant should not be defaulter to any bank or financial institution and should have a satisfactory credit track record.
Document required for Mudra loan
- Valid photo identity proof
- Current address proof
- Proof of income - Latest ITR Financial Docs of Income
- Last 6 months Bank statement
- Loan application form
- Ownership proof of residence/office
- Proof of continuity of business
- Trade references