SBI e-Mudra Loan

Any Bank or non-banking financial institution can provide e-Mudra loans. SBI Mudra Loan applications can be submitted at any SBI branch or online at their website. Micro Units Development & Refinance Agency Ltd. is known as MUDRA.

The government of India has established a finance organisation for developing and refinancing Micro Unit companies. According to the criteria set by MUDRA for lending to qualified borrowers, it has partnered with 27 public sector banks, 17 private sector banks, 27 rural and regional banks, and 25 microfinance institutions.

Why Should you Apply for e-Mudra?

Pradhan Mantri e-Mudra Yojana is a good option for people who need money for their business-related needs to finance them. Pradhan Mantri Mudra Yojana has many benefits, including the following:

• The e-Mudra programme helps micro enterprises in the country get more money
• This initiative offers low-interest loans to those who need money for business purposes
• The programme contributes to the creation of new jobs and an increase in GDP
• The e-Mudra Yojana's processing cost is comparatively inexpensive. While there is no processing cost for the Kishore and Shishu loan programmes, there is a nominal interest rate of 0.50 per cent plus tax for the Tarun programme

Main Features of SBI e-Mudra Loan

Here are the main features of the SBI e-Mudra loan:

• The Credit Guarantee backs the loan scheme for Micro Units (CGFMU). The National Credit Guarantee trustee Company (NCGTC) also delivers security
• The assurance provided by the CGFMU and the NCGTC is valid for a maximum of five years. A 60-month amortisation schedule has been established for repayments under this programme
• All eligible accounts will be offered MUDRA RuPay cards
• The e-Mudra loan is one type of available credit. Working Capital and long-term loans are available from SBI
• The SBI Mudra Loan can be used for various commercial needs, such as expanding a company's capacity or modernising existing facilities
• The target audience includes businesses in the Manufacturing, trading, and service sectors and those engaged in agribusiness

Categorical Division

e-Mudra SBI loans have a maximum loan value of Rs. 10 lakhs. The loan limits for each category are as follows:

For loans up to Rs. 50,000, the needed margin is 0%; for loans from Rs. 50,001 to Rs. 10 lakhs, the required margin is 10%.

Competitive Interest Rate

The SBI mudra loan interest rate is competitive and related to the current Marginal Cost of Funds Based Landing Rate (MCLR).

• Depending on the activity or revenue creation, the e-Mudra loan from SBI bank must be returned in 3 to 5 years, including a suspension of up to 6 months
• Shishu and Kishore to MSE Units pay no processing charge, whereas Tarun pays 0.50% plus relevant VAT

Eligibility for e-Mudra Loan

e-Mudra Loans can be obtained by entrepreneurs looking to start a new business or by established, profitable entities looking to expand their operations. The loan is available to individuals working in the Non-Corporate Small Business Segment (NCSB) in rural and urban areas. This segment includes sole proprietorship or partnership businesses operating as:

• Small manufacturing units
• Service sector units
• Shop owners
• Product vendors
• Truck drivers
• Foodservice operators
• Repair shops
• Machine operators
• Small industries
• Artisans
• Food processors

SBI e-Mudra Loan Apply Online

Those who already have current Savings Account with SBI can apply for an e-Mudra loan up to Rs. 50,000 on their official website. The applicant should be between the ages of 18 and 60, and the deposit account should have been open and active for a minimum of six months.

Documents Required for e-Mudra

Shishu Mudra Loan Documents Required

• GST registration certificate
• Udyog Aadhaar Details
• SBI Account Shop and Establishment Certificate Details

Kishore and Tarun Mudra Loan Documents Required

• Photographs of the applicant in passport size
• Voter ID, PAN Card, Aadhar, Passport, and other forms of identification
• Proof of residency, such as a passport, utility bills, property tax receipts, etc
• Bank statements for the previous six months
• Price quotation for purchasing equipment or machinery
• For business ID, Aadhaar and proof of establishment are required
• The last two years' Balance Sheet and profit and loss statement, Partnership agreement, and legal documents

SBI e-Mudra Loan Application Process Online

If you want to apply for a State Bank of India mudra loan online, follow these steps:

• Navigate to the SBI e-Mudra loan online portal and click the 'Proceed for e-Mudra' option
• A popup will appear, displaying instructions in both Hindi and English. Skim through it and click 'Ok'
• You will now be redirected to a new page where you will be asked to choose a language to proceed. Select one and click 'Proceed'
• Now, enter your mobile number, SBI savings or current account number, and loan amount. Enter Captcha and verify
• Once done, click the 'Proceed' button
• Fill out the online SBI e-Mudra loan application form and upload the necessary documents
• Accept the Terms and Conditions by e-signing
• Provide your Aadhaar number to consent to the use of your Aadhaar for e-signing
• You will now receive an OTP on your registered mobile phone number. Fill in the blanks to finish your loan application

What is the SBI e-Mudra loan helpline number?

If you would need any help or assistance with the SBI e-Mudra loan application, jotted down below are the SBI e-Mudra loan helpline numbers you can dial:

• 1800 1234 (toll-free)
• 1800 11 2211 (toll-free)
• 1800 425 3800 (toll-free)
• 1800 2100(toll-free)
• 080-26599990

Final Note

Individuals who need funds to finance various business-related requirements are a good fit for the Pradhan Mantri Mudra Yojana programme. MSMEs in the country now have better access to funds, thanks to this scheme. One of the best things about this scheme is its low-interest rate. Moreover, it has aided in the creation of jobs and the expansion of GDP. The e-Mudra loan is the most effective way to obtain credit to realise your entrepreneurial dream because it does not require Collateral.

Frequently Asked Questions (FAQs)

1. Who is eligible for e-Mudra's credit facility? What types of borrowers are protected by the e-Mudra scheme?

A: Most of this program's attention will be given to small businesses that aren't corporations, such as the proprietorships and partnerships that operate small factories, service units, fruit and vegetable carts, foodservice cart operators, truck drivers and other food-related enterprises throughout the country and urban food processors and artisans. I am a woman who has completed Beauty Parlour training and would like to open my salon.

2. Which MUDRA loan category should I apply for?

A: MUDRA covers the Mahila Uddyami Scheme, specifically designed for female entrepreneurs. Women can receive assistance under this scheme in all three categories, namely 'Shishu,' 'Kishor,' and 'Tarun.' You will have to submit your business proposal and supporting documents to the nearest SBI Bank branch, and they will inform you about the best SBI mudra loan interest rates and other offers that meet your requirements.

3. Can people in urban areas apply for an SBI Mudra loan?

A: Yes, they can. MUDRA loans are available to entrepreneurs in both rural and urban areas.

4. What exactly is a Mudra Loan Card?

A: Mudra Loan Card, also known as a Mudra Card, is a credit card with a Credit Limit equal to the working capital portion of an SBI Mudra loan. It can be used as a debit-cum-ATM card for business purchases and at POS terminals.

5. Does SBI require collateral for an e-Mudra loan?

A: No, you don't have to provide any collateral because the RBI has mandated that all loans for a maximum of Rs. 10 lakhs to the MSE sector be collateral-free. However, the bank requires you to hypothecate (pledge) any stocks, machinery, movables, or other items purchased with the proceeds of the SBI Mudra loan with the bank for the duration of the loan.

6. Is there financial assistance available through the SBI Mudra Loan?

A: No, there is no subsidy available under the SBI Mudra Loan.

7. Can I apply for a Mudra Loan for Rs.20 lakh?

A: No, the maximum loan amount available under a Mudra Loan is Rs.10 lakh.