Pradhan Mantri Mudra Loan Yojana 2022 (PMMY): Apply for Online Loan

Pradhan Mantri Mudra Loan Yojana | PM Mundra Loan Scheme 2022 | Download Application Form | Benefits & Eligibility Criteria of PMMY 2022

The Government has launched Pradhan Mantri Mudra Loan Yojana in 2015 to assist small businesses in expanding and succeeding. Companies from both the profit and non-profit sectors can apply for a loan under this scheme, with a loan amount of up to Rs.10 lakh available to help them get started. In today’s article, we will tell you about the Pradhan Mantri Mudra Loan Yojana including eligibility criteria, interest rate, and so on.

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About Pradhan Mantri Mudra Laon Yojana

Prime Minister of our country, Mr. Narendra Modi has launched the Mudra Loan Yojana. The Pradhan Mantri Mudra Loan Yojana provides financial assistance in the form of a loan to citizens of the country who want to start their small businesses. If you have or want to expand your business, you can easily obtain a loan of up to Rs. 10,00,000 by applying under the Mudra Yojana.

Pradhan Mantri Mudra Loan Yojana

Overview of the PMMY Scheme

Scheme NamePrime Minister Mudra Loan Scheme
initiated byby Prime Minister Narendra Modi
Beneficiarycountry people
purposeprovide loan
official website

Purpose of the Pradhan Mantri Mudra Laon Yojana

Mudra loans can be obtained for a variety of purposes, including job creation and income generation. The following are the primary purposes for which Mudra loans are obtained:

  • Loan for shopkeepers, traders, vendors, and other service-related activities
  • Finance for small business equipment
  • Mudra cards provide a working capital loan.
  • Vehicle Financing
  • Agri-allied non-farm income-generating activities such as poultry farming, beekeeping, pisciculture, and so on are eligible to apply for a Mudra Loan.
  • A Mudra Loan is available to people who use tractors, tillers, or two-wheelers for commercial purposes.

Amount Provided under Mudra Loan

Financial yearPMMY loans sanctioned (in million)Amount sanctioned (in Rs crore)Amount disbursed (in Rs crore)
Amount for Pradhan Mantri Mudra Loan Yojana

Benefits of the Mudra Laon Scheme

  • Both rural and urban residents can access banking and financial services.
  • Micro-small businesses and start-ups can get financial assistance.
  • Small business loans can be obtained at low-interest rates.
  • The government assumes the borrower’s credit guarantee, so if the borrower is unable to repay the amount borrowed, the government bears the loss.
  • This programme can benefit food vendors, shopkeepers, and other small business owners.
  • This scheme provides financial assistance in areas where people lack access to basic banking services.
  • The scheme’s repayment period is up to seven years.
  • Women can obtain loans at a lower interest rate.
  • Refinance plans are also available through designated lenders.
  • Individuals who want to earn money through microenterprise activities can take advantage of the Micro Credit Scheme.
  • The Mudra loan scheme works in tandem with the government’s “Make in India” campaign, which aims to foster innovation, facilitate investment, improve skill development, and construct the best manufacturing infrastructure in the country.
  • This scheme does not require collateral or security.
  • This scheme’s funds can only be used for business purposes.

Types of Mudra Loan

Name of the SchemeLoan Amount
ShishuUp to Rs.50,000
KishorRs.50,000 to Rs.5 lakh
TarunRs.5 lakh to Rs.10 lakh

Activities Under Mudra Laon Scheme

The following activities are covered under the Mudra Loan:

  • Transport vehicles used for both goods and passengers in the food products sector
  • Community, social, and individual service activities
  • Shopkeeper and trader business loans
  • Textile industry and activities
  • Agriculture-related pursuits
  • Micro Units Equipment Financing Scheme

How to Apply for Pradhan Mantri Mudra Loan Yojana?

  • Go to the official website of the Mudra Loan Yojana.
Pradhan Mantri Mudra Loan Yojana
  • You can see the types of the Mudra Yojana, i.e., infant\teenagers\youth on the home page.
  • You need to download the “Application Form” and take a printout of it.
  • Now, carefully fill out all of the required information in the application form.
  • After that, attach all relevant documents, and submit this application form to your nearest bank.
  • After verification of your application, the loan will be disbursed to you within one month.

Eligibility Criteria for PM Mudra Loan Scheme

Mudra loans are available to Indian citizens who have their own business plans for the service sector, trading, or manufacturing activities and require amounts of up to Rs.10 lakh. It is available from public and private sector banks, regional rural banks, small finance banks, and microfinance institutions (MFIs).

Minimum age18 years
Maximum age65 years
Who can avail of a Mudra LoanLoans can be availed by new and existing units
Security or collateralNo collateral or third-party security is required

Types of Companies can Apply for Mudra loan

  • Railway Recruitment Boards (RRBs)
  • Micro Finance Institutions (MFIs)
  • Commercial Banks
  • Non-Banking Financial Corporations (NBFCs)
  • Small Finance Banks

Banks Covered under Pradhan Mantri Mudra Loan Yojana

  • Allahabad Bank
  • Bank of India
  • Corporation Bank
  • ICICI Bank
  • J&K bank
  • Punjab And Sind Bank
  • Syndicate Bank
  • Union Bank of India
  • Andhra Bank
  • Bank of Maharashtra
  • Dena Bank
  • IDBI Bank
  • Karnataka Bank
  • Punjab National Bank
  • Tamil Nadu Mercantile Bank
  • Axis Bank
  • Canara Bank
  • Federal Bank
  • Indian Bank
  • Kotak Mahindra Bank
  • Saraswat Bank
  • UCO Bank
  • Bank Of Baroda
  • Central Bank of India
  • HDFC bank
  • Indian Overseas Bank
  • Oriental Bank of Commerce
  • State Bank of India
  • Union Bank of India

Types of Industries Applicable for Mudra Loan

  • Business vendors
  • Shopkeepers
  • Agriculture sector
  • Food production industry
  • Handicraftsmen
  • Small scale manufacturers
  • Self-employed entrepreneurs
  • Restoration and repair shops
  • Service based companies
  • Truck owners

Documents Required for Applying for the PMMY Scheme

  • The application form completely filled based on loan category.
  • Aadhaar Card Voter ID Card or Driving Licence or Passport for Identity Proof.
  • Utility bills such as electricity and telephone bills, Aadhaar Card, Voter ID Card, and Passport as for Address Proof.
  • 2 passport-sized photographs of the applicant.
  • If applicable, a caste certificate
  • Balance Sheet of last three years
  • Income Tax Returns or Self-tax Returns
  • Applicant should not be a defaulter in any bank
  • Quotation for the commodity or items to be purchased and used in the business

Interest Rate of the Mudra Loan

The interest rate for a Mudra loan is determined by the applicant’s profile. MUDRA loans are available from a number of banks in both the public and private sectors. All lenders follow certain guidelines, and the final rate of interest at which a loan is provided to an applicant is determined by the lender. This is done after thoroughly reviewing the applicant’s business requirements.

Helpline Number State wise

Name of the StateHelpline Number
Andaman and Nicobar18003454545
Arunachal Pradesh18003453988
A state in Eastern India18003456195
Andhra Pradesh18004251525
Daman and Diu18002338944
Dadra Nagar Haveli18002338944
Himachal Pradesh18001802222
Jammu and Kashmir18001807087
Madhya Pradesh18002334035
NCT of Delhi18001800124
Tamil Nadu18004251646
Uttar Pradesh18001027788
West Bengal18003453344
statephone number
Andaman and Nicobar18003454545
Arunachal Pradesh18003453988

Frequently Asked Questions

1) What is a Mudra Loan?

Mudra Loans are a type of term loan in which a group or an individual can obtain funding for business expansion, inventory purchases, and other purposes.

2) What is the bank Mudra loan limit?

The maximum loan amount available from banks is Rs.10 lakh.

3) What is a Mudra Card?

You are given a Mudra Card, which is a debit card when you apply for a Mudra Loan. After you have successfully applied for the loan, you will be required to open an account in order to receive the card. You can withdraw the loan amount using the Mudra Card after it has been disbursed to your Mudra account after you have successfully applied for the loan.

4) Is an ITR required for a Mudra Loan?

Yes, if you want to apply for a Mudra Loan, you must provide your income tax returns (ITR) for the last two years.

5) Does Civil score affect Mudra Loan?

No, your Civil Score will not be considered if you apply for a Mudra Loan.

6) Who are the customers that Mudra Loan aims to serve?

The target of the PMMY is a non-corporate small business segment, which consists of millions of partnership firms and proprietorships operating as service sector units, small industries, small manufacturing units, vegetable or fruit vendors, repair shops, etc. in urban and rural areas.

7) The Pradhan Mantri Mudra Yojana offers any subsidies?

No, the Pradhan Mantri Mudra Loan Yojana does not provide any subsidies.

8) Can I get a MUDRA loan if I just finished college?

Yes. MUDRA loans are available to recent graduates who want to launch their own businesses. MUDRA can assist you in starting your business, depending on the type of enterprise you want to launch and the project’s requirements.

9) As a female entrepreneur, does Mundra assist to open a boutique?

Yes. Women entrepreneurs can benefit from a special refinance programme designed specifically for them. The Mahila Uddyami Scheme, as it is known, offers a 0.25% interest rebate when you take out a MUDRA loan from an NBFC or a microfinance institution.

10) Do I need a PAN card to get a Mudra loan?

PAN cards are not required for those seeking MUDRA loans, but you must meet the financing institution’s other KYC requirements.

11) Who can borrow from Mudra Bank?

Any individual or MSME with a small business can apply for a mudra loan.

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