Get Mudra Loan In-principle Approval in 59 Minutes. From anywhere, anytime without vising Bank Branch
A Mudra loan is being provided under the MUDRA Yojna to the non-corporate and non-farming small and micro enterprises/businesses. Loans upto INR 10 Lacs can be availed under the MUDRA scheme. Micro Units Development and Refinance Agency Limited (MUDRA) is an NBFC supporting the development of small business owners in India.
The Mudra loan are to be provided for income generating small business activities across manufacturing, processing, services or trading sectors.
The MUDRA Yojna can be extended under 3 categories as mentioned below:
Shishu : Offers loans upto INR 50,000.
Kishore : Offers loans above INR 50,000 and upto INR 5 Lacs.
Tarun : Offers loans above INR 10 Lacs and upto INR 20 Lacs.
Mudra loan can be availed by the following entities:
The Mudra loan scheme offers 3 products to eligible entities, namely Shishu, Kishore, and Tarun. The details of these three products are explained here.
Shishu loans under the Mudra Yojna scheme allow entrepreneurs on the threshold of starting a business to borrow up to Rs. 50,000. The following details need to be furnished to avail this loan.
Kishore loans range from Rs. 50,000 to Rs. 5,00,000. They’re ideal for businesspersons who require additional funds for expanding their trade.
Tarun loans under the Mudra Loan scheme range from Rs. 5,00,001 to Rs 20,00,000. Business owners who wish to avail a Tarun loan need to furnish these documents.
With the Mudra Loan scheme, you can borrow up to Rs. 20 lakhs to 1 Crore. If your business is in need of more capital or funds, you could always avail a business loan without collateral.
| Type of loan | Documentation |
|---|---|
| Vehicle Loans |
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| Business Instalment Loan |
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| Business Loans Group and Rural Business Credit |
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The Mudra Loan scheme offers 3 products to eligible entities, namely Shishu, Kishore, and Tarun. The details of these three products are explained here.
The activities/businesses for which MUDRA loans can be availed include medical shops, boutiques, saloons, gymnasiums, dry cleaning, beauty parlours, motorcycle repair shops, tailoring shops, courier services, photocopying and DTP facilities.
MUDRA offers financing for buying transport vehicles for goods as well as personal transport like auto rickshaws, three-wheelers, passenger cars, e-rickshaws and taxis.
Under the Food Products Sector, MUDRA loans can be availed for activities like achaar making, papad making, jelly or jam making, catering and cold storage units.
MUDRA loans under this head can be availed by individuals who require financing for running their shops, service enterprises and trading activities.
MUDRA loans under this head are available for activities such as powerloom, handloom, embroidery, apparel design, knitting and textile-related businesses.
MUDRA loans can also be availed for bee keeping, pisciculture, livestock, sorting, agriclinics and fishery.
MUDRA loans are extended for the setting up of micro enterprises by buying the necessary equipment and machinery.
MUDRA offers four types of funding support:
Here are the key features and benefits of MUDRA loan:
Banking and financial services can be availed in both rural and urban areas.
Financial backing can be obtained by micro-small businesses and start-ups.
Business loans can be taken for small amounts at affordable interest rates.
The borrower's credit guarantee is taken by the government, so if a borrower is unable to repay the amount borrowed, the responsibility for the loss will be borne by the government.
Food vendors, shopkeepers and other small business owners can make the most of this scheme.
Financial aid is available through this scheme in areas where people have no access to banking facilities.
The repayment period of the scheme can extend up to seven years.
Women borrowers can avail the loan at discounted interest rates.
Refinance schemes can also be availed with designated lenders.
Individuals who wish to generate income through micro enterprise activities can avail the Micro Credit Scheme.
The MUDRA loan scheme is in collaboration with the “Make In India” campaign to foster innovation and investment.
There is no need for collateral or security to avail this scheme.
The funds borrowed through this scheme can only be used for business purposes.
Should be Indian Citizens.
Provide the following KYC documents for evaluation of your loan-worthiness
PAN Card.
Salary Slips (Last 3 months).
Bank Statement of Salary Account (3/6 months).
Address Proof.
Yes, you may still be eligible for a personal loan even with a low credit score. However, the loan amount and structure may be affected.
A loan top-up allows existing customers to borrow additional funds on their current loan subject to eligibility.
You can choose a loan tenure according to your repayment capacity and monthly income.
Loan approval time may vary, but usually it takes 24 to 72 hours after successful document verification.
Yes, you can use the EMI calculator available on the website to estimate your monthly payments.
You can apply online by filling out the application form and uploading the required documents.