Mudra Loan – Pradhan Mantri Mudra Yojana (PMMY):- If you want to start your own business Or you want to grow your current business.
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Hello, friends welcome to another fresh article of “Wealthsetup.com”, Here in this article I explained how to apply for Mudra Loan online/offline.
I will also explain the document requirement and eligibility.
To start new business or grow your current business you need a fund.
So, In this condition to fulfill your financial condition, you has to Apply for loan from the bank.
But you need to face a lot of problems in taking loans from the bank due to this problem many people are unable to take a loan from the bank.
And a lot of people don’t want to take a loan from the bank because there is also a need for collateral.
So keeping these things in mind, our government introduced Pradhan Mantri Mudra Yojana.
Under Pradhan Mantri Mudra Yojana even the smallest business can avail a business loan of up to Rs 10 lakh.
Here in this article we will discuss all the below points one by one.
- What are the benefits of the Mudra loan?
- Documents required to get a Mudra loan?
- Who can get a Mudra loan?
- From where we can take the Mudra loan?
- What is the rate of Interest Mudra loan?
- How to apply for Mudra loan?
Here you will get the answer to all these questions. we cover the all-important thing you need to know.
Also Read:- What Is CIBIL Score? | CIBIL Score On WhatsApp.
What Are The Benefits Of The Mudra Loan?
First of all, we discuss the benefits of the loan under the Pradhan Mantri Mudra Yojana, there are many benefits of Mudra Loans.
But the first benefit of this loan is that there is no minimum loan amount under the Mudra loan.
You can take at least as many loans as you want whether it is Rs.10000, Rs.20000, Rs.50000 or you can take a maximum loan of up to 10 lakh rupees.
The second benefit, If you take a business loan from a bank, then you need to provide collateral.
But if you take the same loan under a Pradhan Mantri Mudra Yojana as Mudra Loan then no need for any collateral or Security.
The third benefit is you take a loan from somewhere, Then you have to pay the processing fee.
But here under Mudra loan you don’t have to pay the processing fee.
The fourth benefit of these loans is here any small business can take under Loan and start or grow his business.
The fifth benefit, Under the Mudra loan you can use taken loan amount for another perpuse.
There are many more benifits of Mudra Loan, These are the key benifits for Mudra loan.
Now let’s disscuss what are the documents required to get Mudra Loan under Pradhan Mantri Mudra Yojana.
Documents Required To Get A Mudra Loan?
As you all know if you want to get loan from any bank you need to provide some documents to bank.
Let’s check what are the documents you need to provide to get loan under Pradhan Mantri Mudra Yojana.
First you need to provide your identity proof Like:-
- Aadhar card
- PAN card
- Voter ID Card
- Driving License
Second you need to provide resident proof Like:-
- Aadhar card
- Voter Id card
- Ration card
- Telephone Bill
- Any other Utility Bill
- Bank Statement
If you are already doing business and want to take a loan to grow your business then you need to provide the identity of your business address proof & license of your business.
As address proof business you can give a rent agreement for the business, for the license of your business you can give your business PAN card.
If you want to take a higher amount of loan you need to explain what are you going to do with that loan amount and what is your business plan.
When you are filling the form for loan transactions there you need 2 recent passport size photos.
So, please carry all these basic documents with you when you applying for Mudra Loan.
Who Can Get Mudra Loan?
The most imported question is who can avail loan under Pradhan Mantri Mudra Yojana.
Mainly, Existing business owners, Shopkeepers, Startups entrepreneurs Or, Any small Industrialist & manufactures can get a loan Pradhan Mantri Mudra Yojana.
it’s mean any small businessman can get this loan Pradhan Mantri Mudra Yojana, if you are a businessman then you can also take this loan easily.
Discussed the benefits of the loan under the Pradhan Mantri Mudra Yojana, Documents requirement, and who can avail the loan.
Now check from where you can get these loan.
Where You Can Take Mudra loan?
Now next most important question is from where we can tack this loan.
You can take this loan from any Public Sector Bank, Private Sector Banks, Regional Rural Banks, Or Smal Finance Banks.
You can also take a loan from NBFCs means Non-Banking Finance Company.
Here below I mentioned some examples of Public Sector Bank, Private Sector Banks, Regional Rural Banks, Or Smal Finance Banks, and NBFCs.
Examples of Public Sector Banks:-
- ALLAHABAD BANK
- ANDHRA BANK
- BANK OF BARODA
- BANK OF INDIA
- BANK OF MAHARASHTRA
- CANARA BANK, etc…
Examples of Private Sector Banks:-
- Axis Bank Development Credit Bank (DCB Bank Ltd)
- HDFC Bank
- ICICI Bank
- IndusInd Bank
- Kotak Mahindra Bank
- Yes Bank
- Bandhan Bank of Bandhan Financial, etc…
Examples of Regional Rural Banks Or, RRBs:-
- Allahabad UP Gramin Bank
- Andhra Pradesh Grameena Vikas Bank
- Andhra Pragathi Grameena Bank
- Arunachal Pradesh Rural Bank
- Assam Gramin Vikash Bank
- Bangiya Gramin Vikash Bank, etc…
Examples of NBFCs:-
- Power Finance Corporation Limited.
- Shriram Transport Finance Company Limited.
- Bajaj Finance Limited.
- Muthoot Finance Ltd., etc…
These are the option from where you can take loan under Pradhan Mantri Mudra Yojana.
You can apply for Mudra Loan from any of these banks or NBFCs.
Types Of Mudra Loan.
Before applying for Mudra loan you should decide which type of loan you want to take.
There are 3 types of Mudra loans:-
- Shishu Mudra Loan.
- Kishore Mudra Loan.
- Tarun Mudra Loan.
Shishu Mudra Loan:- Under this type of loan, you can take a maximum loan of up to Rs.50,000. This loan is manly for startups, who want to start a business.
Kishore Mudra Loan:- Under this type of loan, you can take a loan of up to Rs.50,000 – Rs.5 lakhs.
Tarun Mudra loan:- Under this type of loan, you can take a loan ranging from Rs.5 lakh to Rs.10 lakh.
Kishore and Tarun Mudra Loan are for both type-wise people, Those who are already doing business and want to grow their business.
What Is The Rate Of Interest Mudra Loan?
Now it’s time to check how much interest you need to pay on Mudra Loan. the overall interest rate on loan under Pradhan Mantri Mudra Yojana is 12% P.A.
But Interest will be decided according to your business plan.
Interest decided according to how much risk is involving in your business plan and all the banks have different interest rates.
So it is very important for you when you plan to take a loan under Pradhan Mantri Mudra Yojana.
You need to visit all the banks how much you can visit and need to compare the interest rates which low.
Which bank will give you less interest rate you can get a loan from that bank, The interest rate for the Shishu loan, Kishore loan, Tarun loan will be the same for all type of loan.
Now let’s check how to apply for loan under Pradhan Mantri Mudra Yojana.
How To Apply For Mudra Loan?
Here now we will check how to apply for a loan, If you want to take a loan under Pradhan Mantri Mudra Yojana.
You no need to worry to take loan under Pradhan Mantri Mudra Yojana
You just have to visit the bank or any financial institution from where you want to tack loan.
After visit, you have to tell them you want to take a business loan under Pradhan Mantri Mudra Yojana.
They will give you an application form, you can also download the form from their website.
You have to fill the form and submit the same at the bank along with supporting documents that I have already mentioned in this article.
All the supporting documents must be self-attested by your self. You also need to keep original documents with you.
Bank will take one to two days to verify your documents, business plan, and your CIBIL score.
If your CIBIL score and all other documents are correct then bank will approve your loan.
After approval once again you have to visit bank to open a Mudra account with same bank.
I hope this article will help you to know how to get a Mudra loan to start or grow a business. If anyone has any queries or suggestions regarding Pradhan Mantri Mudra Yojana then please ask in the comment box.Gashik