🧾 Key Highlights of PMMY / MUDRA Loan
| Feature | Details |
|---|---|
| Loan Amount | Up to ₹10,00,000 |
| Loan Type | Term loan / Working capital loan |
| Interest Rate | ~8% to 12% (varies by bank and applicant profile) |
| Collateral | ❌ No collateral required |
| Processing Fee | ❌ Nil for Shishu loans |
| Repayment Tenure | Up to 5 years (depends on amount and purpose) |
| Eligible Sectors | Manufacturing, trading, services, agriculture-linked |
💼 Types of MUDRA Loans
| Category | Loan Range | Suitable For |
|---|---|---|
| Shishu | Up to ₹50,000 | Startups, early-stage businesses |
| Kishor | ₹50,001 to ₹5L | Growing small businesses needing moderate funds |
| Tarun | ₹5L to ₹10L | Established businesses needing larger capital |
✅ Eligibility Criteria
Indian citizen, aged 18–65
Running a non-farm micro or small enterprise
Includes:
Small shops, Kirana stores
Street vendors
Artisans & craftspeople
Repair shops, tailors, salon owners
Traders, service providers, manufacturers
Apply Loan
📋 Documents Required
Aadhaar & PAN
Business proof (registration/licence)
Address proof (residential & business)
Quotation/invoice for machinery or equipment (if applicable)
Last 6 months bank statements
Passport-size photos
🏦 Where to Apply?
You can apply at:
Public sector banks (SBI, PNB, Canara Bank, etc.)
Private banks (HDFC, ICICI, Axis Bank, etc.)
Regional rural banks (RRBs)
NBFCs and microfinance institutions
🔍 Benefits of PMMY (MUDRA Loan)
💰 Easy access to capital for small businesses
✅ No collateral or security required
📝 Minimal documentation
🏦 Accessible across India via banks and NBFCs
📈 Helps formalize and grow micro-enterprises
🙌 Especially supports women, SC/ST, and rural entrepreneurs
💡 Example
Ramesh runs a small mobile repair shop in Lucknow.
He applies for a Shishu MUDRA loan of ₹45,000 to buy tools and pay rent.
Loan approved with minimal paperwork, no collateral.
He repays over 24 months with low interest.