What is Pradhan Mantri Mudra Yojana (PMMY)? Know the Eligibility, benefits and other details
What is Pradhan Mantri Mudra Yojana (PMMY)
To help the small and micro businesses the Indian government started a loan scheme called Pradhan Mantri Mudra Yojana (PMMY). PMMY is one of the flagship schemes of the Union government. It encourage self-employment by offering three types of loans to the non-farm income generating small and micro Enterpreneurs. Under PMMY, collateral-free institutional credit up to ₹10 lakh is provided by Member Lending Institutions (MLIs) i.e. Scheduled Commercial Banks (SCBs), Regional Rural Banks (RRBs), Non-Banking Financial Companies (NBFCs) and Micro Finance Institutions (MFIs).
Eligibility Criteria for Pradhan Mantri Mudra Yojana
- The applicant must be a citizen of India.
- The entrepreneur should belong to the age group of 18 to 65 years.
- Any individual who has non-farm income generating small and micro Enterprises can avail loan under the Scheme.
- Individuals, Startups, Business Owners, Entrepreneurs, and MSMEs.
- Women Entrepreneurs, as well as individual those who belongs to SC/ST/OBC category.
- Business of applicant’s must be minimum 3 years old.
- The applicant should not have a history of loan default to any bank or the financial institutions.
Benefits of Pradhan Mantri Mudra Yojana
In Pradhan Mantri Mudra Yojana scheme, government offers three types of loans to the applicants.
- Shishu – Get loans up to ₹50,000
- Kishore – Get loans from ₹50,000 up to ₹5 lakhs
- Tarun – Get loans above Rs. 5 lakhs up to Rs. 10 lakhs
Existing small businesses can also get the loan credit facilities at reasonable interest rates to expand their operations.
How to Apply for Pradhan Mantri Mudra Yojana?
- If you want to apply under the Pradhan Mantri Mudra Yojana, first you have to visit it’s official website www.udyamimitra.in and in its homepage click on the option ‘Apply Now’.
- After that select your employer from different given options such as ‘New Entrepreneur’, ‘Existing Entrepreneur’, and ‘Self-Employed’.
- Then, below enter your personal informations. First enter ‘Name of the Applicant’, ‘Email ID’, and then ‘Mobile Number’ and click on Generate OTP option and Register.
