PM Mudra Yojana: The government has doubled the limit of Pradhan Mantri Mudra Yojana (PMMY), a loan given to promote self-employment in the country, to Rs 20 lakh. The Ministry of Finance said in a statement on Friday, that through this increase, we want to further the overall objective of the Mudra Scheme (PM Mudra Yojana). A notification has been issued in this regard.

The Finance Minister announced in the budget.

Finance Minister Nirmala Sitharaman, while presenting the Union Budget 2024-25 on July 23, 2024, said that the limit under the Pradhan Mantri Mudra Yojana (PMMY) would be increased from the current Rs 10 lakh to Rs 20 lakh.

Sitharaman, while presenting the budget in the Lok Sabha, said, "The limit of Mudra loan will be increased from the current Rs 10 lakh to Rs 20 lakh for those entrepreneurs who have taken a loan earlier under the 'Tarun' category and have successfully repaid it." What is the eligibility

The person applying for the loan should be a citizen of India.
The applicant should not have a bank default history.
The business for which the Mudra loan is to be taken should not be a corporate entity.
The applicant for the loan must have a bank account.
The applicant for the loan should be above 18 years of age.

Loans are available in three categories.

If you want to take a loan through Pradhan Mantri Mudra Yojana, then you can apply for a loan in any government-private bank along with the regional rural bank, small finance bank, or non-financial company. According to the category, 3 limits of loan amount have been made, which are called Shishu, Kishor, and Tarun.

Benefits of PMMY

Through Pradhan Mantri Mudra Yojana, you can take a loan from Rs 50 thousand to 20 lakh according to your needs. The loan is collateral-free, and there is no processing fee on it.

The total period of loan repayment under this scheme ranges from 12 months to 5 years. But if you are unable to repay it in 5 years, then you can extend its period by 5 years.

The good thing about this loan is that you do not have to pay interest on the entire amount of the approved loan. Interest is charged only on the amount that you have withdrawn and spent through the Mudra card.

If you are doing any business in partnership, then also you can take a loan through Mudra Yojana. In this, you get loans in three categories. The interest rate is different according to the category.

How to apply

First of all, go to the official website of Mudra Yojana mudra.org.in.

The home page will open on which three types of loans will be written about Shishu, Kishor, and Tarun, you choose the category according to your choice.

A new page will open, from here you will have to download the application form and take a print of this application form.

Fill out the application form correctly. The form will ask for photocopies of some documents like an Aadhaar card, PAN card, proof of permanent and business address, copies of income tax returns and self tax returns passport size photos, etc.

Submit this application form to your nearest bank. The bank will verify your application and the loan will be given within 1 month.

To apply online, you will have to create a username and password. With its help, you will log in to the Mudra loan website. You can apply online here.