Government Loans

Loan categories

• Shishu: up to ₹50,000
• Kishor: above ₹50,000 and up to ₹5 lakh
• Tarun: above ₹5 lakh and up to ₹10 lakh
• Tarun Plus: above ₹10 lakh and up to ₹20 lakh, for eligible borrowers who have successfully repaid a previous Tarun loan

These are scheme categories, not a guarantee of approval. The lender determines the sanction, interest rate, tenure and other terms under applicable rules.

Who may consider it?

People running or establishing an eligible small income-generating business, such as a shop, service unit, small manufacturing activity or eligible allied activity. The business and applicant must meet the lender's requirements.

How to proceed

1. Prepare a clear business purpose and estimated cost.
2. Contact a participating bank, small finance bank, NBFC or other eligible lending institution.
3. Submit the lender's application and supporting documents.
4. Review the written offer, charges and repayment schedule before accepting.

What it may cover

• Eligible crop-production expenses and agricultural inputs
• Permitted post-harvest and marketing needs
• Working capital for eligible allied agricultural activities
• Other uses specifically allowed under current KCC guidelines

Credit limits, collateral requirements and interest support depend on current government guidelines, the type of activity, sanctioned limit and lender assessment. Do not assume every borrower receives the same rate.

Who may be eligible?

Eligible owner-cultivators and other recognised farming arrangements, including qualifying tenant farmers, sharecroppers, joint-liability groups or self-help groups, subject to the bank's applicable rules. Separate conditions apply to allied activities.

How to apply

1. Contact a participating bank, Regional Rural Bank or eligible cooperative institution.
2. Ask for the KCC application and current document checklist for your activity.
3. Provide requested identity, address, land/tenancy or activity details and bank information.
4. Confirm the sanctioned limit, interest, repayment dates and any applicable interest benefit in writing.

Current loan tranches

• First loan: up to ₹15,000
• Second loan: up to ₹25,000, subject to scheme conditions
• Third loan: up to ₹50,000, subject to scheme conditions

These are maximum tranche amounts. Eligibility for a later tranche depends on prior borrowing and repayment conditions. Interest subsidy and digital-payment incentives are subject to scheme rules.

Who should check?

Street vendors who meet the scheme's identification and eligibility requirements. Coverage and documentation can depend on the local urban body, vending status and the authorised scheme process.

How to proceed

1. Use the official PM SVANidhi portal to review the current process.
2. Check the requirements for vendor identification and the application route in your area.
3. Apply through the authorised channel and participating lender.
4. Keep repayment records; later loan tranches are not automatic.

What to know

• It applies to eligible traditional artisans in notified trades, not every type of business.
• Credit support is linked to scheme registration, verification and lender processes.
• Training, toolkit and credit components have separate conditions.
• Loan terms and disbursement depend on the applicable guidelines and participating lender.

How to proceed

1. Review the notified trades and eligibility conditions on the official portal.
2. Use the authorised registration and verification process; local facilitation may be available.
3. Keep the required identity, bank and trade-related details ready.
4. Confirm the credit terms, repayment schedule and any applicable support before accepting a loan.

What applicants should understand

• It is intended for eligible new projects, subject to scheme restrictions.
• Project cost ceilings, applicant contribution, subsidy rate and eligible activities vary by the applicable rules and applicant category.
• Subsidy is handled under programme conditions; it should not be treated as cash paid upfront to every applicant.
• Existing units and certain activities may be ineligible under the guidelines.

Application preparation

1. Read the current eligibility rules and project restrictions.
2. Prepare a viable project report and cost estimates.
3. Use the official PMEGP application route and submit the required records.
4. Complete lender appraisal and any mandatory training or verification applicable to the case.

What support may be available?

• Bank education loans for eligible course fees and approved education-related expenses.
• Interest support for eligible students during the specified moratorium period under applicable government schemes.
• Credit-guarantee support for qualifying loans where scheme conditions are met.

Interest subsidy is not automatic for every student or every college. Institution lists, income criteria, course rules and the live application process must be checked on the official portal.

How to prepare

1. Confirm admission and check whether the institution/course qualifies.
2. Review the current education-loan and interest-support rules.
3. Prepare admission, fee, academic, identity, income and bank documents as requested.
4. Compare the lender's interest, moratorium, repayment and co-borrower conditions.

Key conditions to check

• The scheme is intended for eligible EWS, LIG and MIG households, subject to income and other criteria.
• Published guidelines describe a 4% subsidy on the eligible first ₹8 lakh of a qualifying home loan, with maximum subsidy support subject to scheme limits.
• Loan sanction/disbursement date, household eligibility, property value, loan amount and tenure conditions matter.

The published scheme guidelines include income ceilings of up to ₹3 lakh for EWS, ₹6 lakh for LIG and ₹9 lakh for MIG. Confirm the latest operational rules and eligibility before relying on these figures.

How to proceed

1. Read the current PMAY-Urban 2.0 Interest Subsidy Scheme guidelines.
2. Check whether the household and property meet the conditions.
3. Contact a participating bank or housing finance company.
4. Ask the lender how eligibility is assessed and how any approved subsidy is applied.

Support under the scheme

• Eligible individual units may receive credit-linked capital subsidy of 35% of eligible project cost, up to ₹10 lakh per unit, subject to scheme guidelines.
• Eligible groups and common infrastructure projects may have different project limits and assistance conditions.
• Applications are subject to project eligibility, lender appraisal and required beneficiary contribution.

Subsidy is linked to an eligible project and loan process; it should not be treated as cash paid in advance or as guaranteed loan approval.

Who should check?

Eligible micro food-processing entrepreneurs, proprietors, partnerships and qualifying groups looking to set up or upgrade an eligible unit.

Application preparation

1. Check current scheme guidelines and eligible activities.
2. Prepare project cost estimates, business details and required registrations.
3. Contact the scheme's authorised channel and a participating lender.
4. Confirm the subsidy calculation, own contribution and repayment obligations in writing.

Financial support

• Eligible projects may receive 3% annual interest subvention on loans up to ₹2 crore.
• The interest-subvention period can extend up to seven years, subject to scheme conditions.
• Eligible borrowers may also qualify for credit-guarantee support under applicable arrangements.

Project eligibility, lending terms, the subvention cap and guarantee coverage depend on the current guidelines and participating lender.

Potential applicants and projects

Depending on the rules, eligible farmers, farmer-producer organisations, cooperatives, agri-entrepreneurs, start-ups and other recognised entities may explore qualifying storage, logistics, processing or community agricultural infrastructure projects.

How to proceed

1. Check whether the proposed asset/project is eligible under AIF.
2. Prepare a project report, cost estimates and applicant/entity documents.
3. Use the official AIF process and approach a participating lender.
4. Confirm the sanctioned loan, interest, repayment schedule and approved benefit in writing.