Pradhan Mantri Mudra LoanEligibility | PMMY

Collateral free loan for Retailers, wholesalers, manufactures, and Service Providers etc. Mudra Loan Eligibility for new and existing busines

Pradhan Mantri Mudra Yojana

Pradhan Mantri MUDRA loan scheme is launched by the Hon’ble Prime Minister on April 8, 2015, for providing loans up to 10 Lac to the non-corporate, non-farm small/micro-enterprises.

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Purpose of Loan

Mudra Loans are granted for nonfarm activities such Micro Manufacturing
/ Services and retail trade and allied activities under agriculture for income
generation activities.

Mudra Loan Eligibility

All types of Business whether existing or new are eligible for Mudra Loan

Rate of Interest:

Mudra Loan interest may slightly vary
from bank to bank ranging from
9% - 10% per annum.

Quantum of Loan:

Max. 10Lac
 MUDRA Scheme has created three categories namely

 Shishu -    

 Loans up to Rs. 50000/-

 Kishor -    

Loans from Rs. 50001/- to Rs. 5.00 Lac

Tarun -     

 Loans from Rs. 500001/- to Rs. 10.00 Lac

Nature of Loan:

      I.        Working Capital – for running day to day Business.
    II.        Term Loan – for purchase of machinery or equipment.

Loan Repayment:

Working capital should be renewed once in a year.

Maximum Repayment Period for Term Loan:

05 years

Holiday/Moratorium Period:

Nil

Loan Security:

Prime Security:

Hypothecation of stocks and finished goods.

Collateral Security:

Nil.
For Manufacturing/services – CGTMSE Cover
For Retail Trade - CGFMU cover

Loan Guarantee:

No there is no 03^rd party guarantee required for Mudra loan.

FAQs on Mudra Loans

Q1. What is a Mudra Card?

Ans.

• MUDRA Card is a debit card issued to MUDRA loan beneficiaries, for Working capital portion of the loan.
•  Card Limit: 20% of the working capital loan limit.
• The card is issued for working capital use only.
• Mudra Card is linked to the cash credit account of the borrower.
• The cards are issued under Rupay Brand only.
• Only one Mudra card is issued for each account even if the firm is having more than 1 partners. Necessary authorization to be obtained from the firm.

Mudra card Limit:

Type	Max loan	Max card limit	Daily Limit
			ATM Cash	PoS	E Com
Shishu	50000	10000	2000	1500	1500
Tarun	500000	100000	20000	10000	20000
Kishore	1000000	2000000	20000	40000	40000
Card should not be used in the jewellery shops and also for Mutual Fund

Repayment  of Mudra Card:

This card limit will be repaid as per the repayment Programme fixed For the total credit facility in such a way that the repayment for the term Loan component will start first. First 80% of repayment will go towards term loan component and the remaining 20 % will go towards the liquidation of the card limit on reducing DP on a monthly basis. But interest in the account is to be serviced as and when debited.

Q2. What is the procedure of Mudra loan application?

Q. How to Apply for a Mudra Loan?
Ans. Mudra Loan can be applied in two ways:

I. By visiting the bank branch of any of the below said banks
a.    Commercial Banks
b.    RRBs
c.    Small Finance Banks
d.    MFIs and NBFCs.

II.   Online Application
A borrower can apply online through below web portal:
www.udyamimitra.in

Q3.Is guarantor required for Mudra loan?

Ans. No there is no 03^rd party guarantee required for Mudra loan. Micro Manufacturing & Services covered under CGTMSE. Retail Trade covered under CGFMU.

Q4. Is there any reservation system in place for Mudra loans?

Ans. No, there is no reservation system in Mudra Loan scheme. Mudra Loan Scheme is open for all irrespective of caste, creed or religion.

Q5. What are the documents required for Mudra Scheme application?

Ans. Documents required for mudra loan are as under:

• Registration of firm/shop – FORM C & FORM O
• FSSAI Registration if Required.
• GST Registration if required.
• Address Proof of shop/firm: Electricity bill, Tel. Bill. etc.
• KYC Documents of Proprietor in case of the proprietary firm and all partners in case of partnership firm

Address Proof:

•   Passport 
•  Driving License
• voter identity card
• Utility bill which is not more than two months old of any service provider Electricity, Telephone, Postpaid Mobile, Piped gas, Water bill.
• Property or Municipal tax receipt.

Identity Proof:

• Pan Card
•  Aadhar Card
• Passport

In case of an existing business: 03 years Balance Sheets including projections for next year and Profit & Loss statement of the firm and In case of new business: the next 03 years projected Balance Sheets and Profit & Loss statement of the firm.

Q6. What is the loan amount offered under Mudra Loan?

Max Loan Aount under Mudra Loan Scheme: 10 Lac

Q7. Which bank is best for Mudra loan?

Ans. Mudra loan scheme is a government-sponsored scheme and almost all banks are offering the same benefits with a slight change in interest rates.

Q8. Can Mudra loan be enhanced?

Ans. Yes, mudra loan can be enhanced up to 10 Lac without any collateral security and above 10 lac with collateral security.

Q9. I want to start my own business. Can MUDRA help me?

Ans. Yes, definitely anyone who wants to start a new business or grown existing business can avail Mudra loan. Pradhan Mantri Mudra Yojana Helpline

PMMY National Toll Free Number

1800 180 1111
1800 11 0001
Mission office Contact details
Contact number : 011-47072748
Contact e-mail id missionmudra-dfs@nic.in

State Toll Free Numbers for PMMY

Name of the State/U.T	Toll-Free NO
ANDAMAN & NICOBAR ISLANDS	18003454545
ANDHRA PRADESH	18004251525
ARUNACHAL PRADESH	18003453988
ASSAM	18003453988
BIHAR	18003456195
CHANDIGARH	18001804383
CHHATTISGARH	18002334358
DADRA & NAGAR HAVELI	18002338944
DAMAN & DIU	18002338944
GOA	18002333202
GUJARAT	18002338944
HARYANA	18001802222
HIMACHAL PRADESH	18001802222
JAMMU & KASHMIR	18001807087
JHARKHAND	1800 3456 576
KARNATAKA	180042597777
KERALA	180042511222
LAKSHADWEEP	0484-2369090
MADHYA PRADESH	18002334035
MAHARASHTRA	18001022636
MANIPUR	18003453988
MEGHALAYA	18003453988
MIZORAM	18003453988
NAGALAND	18003453988
NCT OF DELHI	18001800124
ORISSA	18003456551
PUDUCHERRY	18004250016
PUNJAB	18001802222
RAJASTHAN	18001806546
SIKKIM	18003453988
TAMIL NADU	18004251646
TELANGANA	18004258933
TRIPURA	18003453344
UTTAR PRADESH	18001027788
UTTARAKHAND	18001804167
WEST BENGAL	18003453344

REGISTERED AND CORPORATE OFFICE

SWAVALAMBAN BHAVAN,
C-11, G-BLOCK,
BANDRA KURLA COMPLEX,

 BANDRA EAST, MUMBAI – 400 051