What is Mudra Bank?
- 1 What is a roll of MUDRA Bank in India
- 2 What is MUDRA Scheme?
- 3 What is the Rate of interest of Mudra Loan?
- 4 Who is eligible for MUDRA Bank Loan?
- 5 Share your experience with us at mudrakibaat (at) gmail.com
- 6 Frequently Asked Questions
- 7 What is Mudra Bank?
- 8 Who can apply for Mudra loan?
- 9 What is Mudra Loan eligibility?
- 10 What is the age Limit for Mudra Loan?
- 11 What are mandatory documents for mudra loan?
- 12 What is mudra loan interest rate?
- 13 Which bank is providing mudra loan on lowest interest rate?
- 14 What is the procedure for mudra loan registration?
- 15 Is Mudra Loan being available for education?
- 16 Is subsidy available under Mudra loan scheme?
- 17 What is mudra loan approval time/duration?
- 18 What is mudra loan repayment schedule?
- 19 How can we open account in Mudra Bank?
- 20 Who is MSME/ SME in India?
Micro Units Development and Refinance Agency Bank or (MUDRA Bank) is a new institution set up by the Government of India for the development of micro-units and refinance of MFIs to encourage entrepreneurship, startups.
Mudra Bank had announced by the Honorable Finance Minister during Union Budget to uplift support unorganized sector.
It has two types of products like refinance for the micro-units having loan requirement from Rs 50 thousand to 10 lakhs and support of Micro Finance Institutions (MFI) for on landing.
MUDRA will refinance to micro-business under the scheme of Pradhan Mantri MUDRA Loan Yojana. Mudra Scheme is open for all which is collateral-free.
Now mudra shcems has doubled the online e-mudra loan amount from 50,000 to 1,00,000 from Nov. 2020.
What is MUDRA Scheme?
Under the guideline of the Pradhan Mantri MUDRA Scheme (PMMY), MUDRA has launched three initiative products to the name of SHISHU, KISHOR & TARUN to signify the stage of growth and funding needs of the micro-units, startups, or entrepreneur.
MUDRA is refinancing through State level institutions, like NBFCs, MFIs, Regional Rural Banks, District Banks, Cooperative Banks, Nationalize Banks, Private Banks, Primary Lending Institutions, and other intermediaries.
What is the Rate of interest of Mudra Loan?
There is no fixed Interest rate for the MUDRA loan. According to sources banks are charging around Base Rate + 1% to 7% minimum.
The interest rate can be higher according to risk and customer’s profile and it can be different in all banks. So please check your nearest bank branches once before apply for the MUDRA Loan. There is no subsidy under the PMMY Mudra loan.
The terms and conditions of the lending agency may have to be followed for availing of a loan. The Interest rates of Mudra loans may vary from bank to bank. Please visit the branch to get the current interest rate.
Who is eligible for MUDRA Bank Loan?
Any Indian who is involved in income-generating activities like manufacturing, processing, trading, service sector and whose requirement is under 10 lakh, can approach Banks, MFIs, Financial Institutions, or NBFC for availing of MUDRA loans under Pradhan Mantri Mudra Yojana (PMMY).
MUDRA Bank is refinancing the agriculture sector under PMMY with traders of vegetables & fruits covers under MUDRA Bank Schemes.
Modi Government had decided to provide an additional fund of ₹ 1 Lakh crore to the market to generate jobs.
40,000 Crore Rupee for Mudra Shishu Loan Scheme.
35, 000 Crore Rupee for Mudra Kishor Loan Scheme.
25, 000 Crore Rupee for Mudra Tarun Loan Scheme.
We are getting lots of complaints from users that banks are not showing interest to disburse loans under the MUDRA scheme. We are working on that issue and found that Banks are not showing interest because it is unsecured & can be NPA at a large scale.
Author:- Jeevan Pant
Mudra loan is the most favorite scheme of the Modi government. It is feeding the poor and weaker to start a business.
mudrabank.com does not belong to govt. of India or any other MUDRA or any other Govt. agency. We made that website to share experience & exchange information only. MUDRA is not a bank.
It has been constituted to make policy for MUDRA Loan & provide the collateral loan to unorganized sectors & individuals.
We will give you all updates regarding Mudra Bank and updated schemes. You can download all banks mudra loan application form along with e-mudra web links.
Now millions of people get benefits to mudra bank & running their business successfully. Mudra has changed the entire banking scenario & the banking system. No collateral is necessary for a mudra loan.
Govt of India released around 9 lakh crore rupees to disburse MSME, Small sector to boost India economy via mudra bank. Now the valuation of MSME companies has increased and now 200 crore companies will consider MSME firm and get all the benefits of MSME.
The finance minister has also decided on several benefits for the MSME sector like collateral-free loans under the Mudra Bank scheme. Source confirms that Govt is also planning to increase the sizing of loan from 10 Lakh to 50 lakh.
Frequently Asked Questions
What is Mudra Bank?
Micro Units Development and Refinance Agency Bank (MUDRA Bank) or Mudra Loan, is a new institution set up by the Government of India for development of micro-units and refinance of MFIs to encourage entrepreneurship, start-ups.
Who can apply for Mudra loan?
Any India can apply for Mudra loan at any bank branch who is authorized to disburse mudra loan.
What is Mudra Loan eligibility?
Individuals, Small manufacturers, Farmers, small entrepreneur, start-ups, shopkeepers, fruit & Vegetable dealers, vendors, restaurant, Dentist, chemist, bakery, juice, hotel etc are eligible for mudra loan.
What is the age Limit for Mudra Loan?
There is no maximum age limit for mudra loan application, but the minimum age is 18 years. Rest every bank has its own policy and they will approve loan accordingly.
What are mandatory documents for mudra loan?
All below documents are mandatory for mudra loan application.
Identity proof like Pan Card, Aadhaar Card, Voter I Card, Manrega Card etc.
Residence proof like Aadhaar Card, Voter I Card,
Application form of concern bank.
Passport size photos
*Project report will increase your chances to get loan.
What is mudra loan interest rate?
MUDRA loans interest rates are not fix and it is based on RBI’s policy which decides every quarter. But it is between 8.40% and 12.45% for 1 to 5 years accordingly.
Which bank is providing mudra loan on lowest interest rate?
Every bank has its own policy on mudra loan but SBI is providing Shishu loan without interest. SBI, BOB & PNB is providing mudra loan on low interest. Please check the bank policy before applying, it may change quarterly.
What is the procedure for mudra loan registration?
You can download mudra loan application form from bank website & apply online/ offline at bank branch with mandatory documents.
Is Mudra Loan being available for education?
No, right now mudra bank loan is not available for education purpose. Pls visit the bank website for more details because bank has right to changes its policy.
Is subsidy available under Mudra loan scheme?
There is not subsidy under Mudra Loan scheme but if you are applying mudra loan under state, central govt. or any other scheme than you can avail the subsidy.
What is mudra loan approval time/duration?
There is no time frame & SLA to approve mudra loan. But few banks are providing Instant mudra loan online. SBI is the leading bank which is providing fastest e-mudra loan online.
What is mudra loan repayment schedule?
There is two standard procedure to repay mudra loan.
Term Loan:- To be repaid in suitable installments with suitable moratorium period as per cash flow of the business.
OD & CC Limit: Repayable on demand. Renewal and Annual Review as per internal guidelines of the Bank
How can we open account in Mudra Bank?
Mudra bank is a virtual bank or agency. Which is constituted by govt. of India & monitor by SIDBI. There is no option to open account in Mudra Bank. It is a scheme & your bank will complete the entire process of Mudra Bank loan.
Who is MSME/ SME in India?
Recently govt has changed the MSME policy, now 250 crore companies will be called MSME. Earlier it was 100 crore before lock down.