Individuals and Micro, Small, and Medium Enterprises (MSMEs) are eligible for SBI eMudra Loan, which are provided under the supervision of the Micro-Units Development and Refinance Agency (MUDRA). Individuals, self-employed professionals, and Micro, Small, and Medium-sized Enterprises can apply for business loans and SME loans of up to Rs. 10 lakh through the Mudra scheme (MSMEs). e Mudra loans SBI can be applied for and obtained online for amounts up to Rs. 1 lakh with a 5-year payback period.
The State Bank of India is a well-known public sector bank that provides loans to customers for both personal and business purposes. SBI offers a variety of MSME loan/ SME loans, including the PM Mudra Yojana, as part of its portfolio.
What is SBI e-Mudra Loan?
Customers with an SBI savings or current account can now apply for the SBI Mudra loan online. The SBI eMudra loan platform – https://emudra.sbi.co.in:8044/emudra – accepts loan applications up to Rs.50,000.
A business loan is a type of financial product designed exclusively for business use. Business owners, self-employed professionals, MSMEs, and other business entities can apply for business loans from banks and NBFCs. The loan proceeds are mostly used to fund business expansion, fulfil working capital needs, improve cash flow, purchase equipment/machinery, stock inventory, pay rent, hire/train employees, and so on.
Working capital loans, term loans, overdrafts, cash credits, point-of-sale loans, letters of credit, bill discounting, equipment finance, government-sponsored loans, and bank guarantees are all available from financial institutions.
Private and public sector banks, NBFCs, Small Finance Banks (SFBs), Micro Finance Institutions (MFIs), Regional Rural Banks (RRBs), and other institutions provide business loans.
SBI eMudra Loans can be utilised to address a variety of working capital needs, including improving cash flow, purchasing raw materials, stocking up on inventory, paying rent, and other business-related needs. Individuals, MSMEs, firms, and organisations working solely in the services, manufacturing, and trading sectors are eligible for SBI Mudra and e Mudra loans.
Benefits of SBI eMUDRA LOAN
The following are the benefits of an e Mudra Loan SBI:
|SBI e MUDRA Loan – Highlights – June 2022|
|Interest Rate||Competitive rates linked with MCLR*|
|Purpose||Business purpose, capacity expansion, modernization|
|Loan Amount||Up to Rs. 10 lakh|
|Loan Type||Term Loan & Working Capital Loan|
|Target Group||Business Enterprises in Manufacturing, Trading, and Services sector including allied agricultural activities|
|Processing Fee & Charges||Nil for Shishu and Kishor to MSE Units|
For Tarun: 0.50% of the sanctioned loan amount + taxes
|Prepayment Charges||Between 3 – 5 years (moratorium of up to 6 months) depending on the activity/income generation|
Review of WC/TL to be done annually
|Margin||Up to Rs. 50,000 Nil and From Rs. 50,001 to Rs. 10 lakh is 10%|
*SBI 1 year MCLR with effect from 15th May 2022 is 7.20%.
How to Get an SBI e Mudra Loan?
Customers who have an existing relationship with SBI in the form of a Savings Account or a Current Account can apply for an e-MUDRA loan of up to Rs. 1,00,000 by accessing the SBI e-mudra portal and following the simple and easy online procedures below:
Step 1: From the drop-down option, choose Pradhan Mantri Mudra Yojana Application Form.
Step 2: Go to the SBI eMudra official website and click ‘Proceed.’
Step 3: Provide the necessary information, such as the applicant’s Aadhar card, to UIDAI for e-KYC purposes, as e-KYC and e-sign must be performed using OTP authentication for loan processing and payout.
Step 4: Once the SBI formalities and loan process are completed, the applicant will receive an SMS instructing them to return to the e-MUDRA portal to continue the process.
Step 5: This procedure must be completed within 30 days after receiving the loan sanction SMS.
Note: The applicant must upload the document in JPEG, PDF, or PNG format only, with a file size of no more than 2 MB.
Who is eligible to apply?
The Pradhan Mantri Mudra Yojana loan is available to both existing and new units.
This loan is available to businesses that are engaged in the manufacturing of commodities.
The PMMY loan is available to people who work in the trading and service industries.
This loan is available to those who engage in associated agricultural activities.
Consider the following:
The CGFMU, or the Credit Guarantee for Micro Units, guarantees loans made under the Pradhan Mantri Mudra Yojana scheme. The NCGTC, or National Credit Guarantee Trustee Company, also offers the same guarantee.
The guarantee provided by the CGFMU and the NCGTC is valid for a maximum of five years. As a result, the Pradhan Mantri Mudra Yojana scheme’s maximum payback period is set at 60 months.
All eligible accounts will be provided MUDRA RuPay cards.
Features and Eligibility of SBI e-MUDRA Loans
Here we listed down the feature and sbi mudra loan eligibility read accordingly.
Features of e-Mudra Loan SBI
A maximum loan amount of Rs. 1 lakh is available.
Up to 5 years is the maximum repayment duration.
As per the bank’s discretion, an instant loan of Rs. 50,000 is available.
An applicant must visit SBI’s nearest bank branch for loan formalities if the loan amount exceeds Rs. 50,000.
Criteria for Eligibility for e-Mudra Loan
To apply for a Mudra loan from SBI, you must meet the following requirements:
Must have kept a current or savings account with SBI for at least 6 months.
SBI e-Mudra Loan Documents Required
When applying for an e-Mudra SBI loan online, it’s critical to have the following documents available. The files should be in JPEG, PNG, or PDF format and no more than 2MB in size. Any of the following documents should be photocopied or scanned and submitted.
Along with the loan application form, you must provide the following papers to apply for a Mudra loan from SBI:
- A completed application form with passport-sized pictures is required.
- Passport, voter’s ID card, Aadhar card, driving licence, and PAN card are the applicant’s KYC documents.
- Savings/current account number and branch information
- Business Evidence (Name, Start date & Address)
- Aadhar Number (Unique Identification Authority of India) (should be updated in Account Number)
- Details about the community (general/ SC/ ST/ OBC/ Minority)
- GSTN and UDYOG Aadhar/ Udyam Registration Certificate are examples of other information that can be uploaded.
- Proof of Shop & Establishment as well as business registration are required.
- SBI may request more documentation like Project Report for Bank Loan.
Specifics are required.
Make sure you have the following information on hand to guarantee a smooth application process:
Your SBI bank account number (savings or current)
Aadhaar number: This is optional, however it is necessary to complete the e-KYC process using the mobile app in real time. Your application will be physically handled at the SBI branch if you do not want to enter your Aadhaar number online.
Business information: This comprises your company’s name, address, and start date, and is used to validate your business’s location.
Religion and community: SBI’s credit policy includes a section.
Numbers on sales: figures on sales turnover.
Business account: Account Holder name, IFSC Code, bank name, branch code and branch name to which your business’s sales profits are credited.
How to apply for an SBI e-mudra loan offline?
- Read out the loan’s characteristics, perks, and terms and conditions. It’s a good idea to become aware of all of the interest fees that will be imposed if you take out the loan.
- Check the lender’s eligibility conditions to see if you are eligible to apply for the programme.
- To apply for the loan, contact the State Bank of India.
- You will be required to fill out an application form and submit it along with a few papers to the lender.
- Your application will be confirmed after this. You will receive the loan amount in your account once it has been accepted.
- You must begin making payments to the lender as soon as you receive the loan amount.
- To avoid any issues and have a pleasant borrowing experience, it is in your best advantage to repay the loan according to the lender’s schedule.
- You can contact the lender via the customer service channels listed on the lender’s website if you have any questions about the Pradhan Mantri Mudra Yojana scheme.
- If you require finances for any business purposes, you can examine your requirements and apply for a Pradhan Mantri Mudra Yojana loan from State Bank of India.
Eligibility for an SBI Mudra Loan
The applicant must be employed in a non-farm income-generating industry, such as manufacturing or services.
The candidate must have lived in the same place for at least two years.
|MUDRA Yojana Loan Amount|
|Shishu||Up to Rs. 50000|
|Kishor||Rs. 50000 – Rs. 5 lakh|
|Tarun||Rs. 5 lakh – Rs. 10 lakh|
MUDRA provides a credit guarantee for Mudra loans, works as a technological enabler, and provides developmental and promotional support, among other things. Funding assistance is available through four different channels:
Micro Credit Scheme (MCS) for loans up to Rs. 1 lakh, with microfinance institutions providing the funding.
Commercial banks, Regional Rural Banks (RRBs), and Scheduled Co-operative Banks are all using a refinance strategy (SCBs)
Through the Women Entrepreneurship Program
The loan portfolio is securitized.
The SBI Mudra loan is available for working capital and as a term loan to address a variety of business needs. SBI offers a maximum loan amount of Rs. 10 lakh under the Mudra Yojana. Enterprises that engage in manufacturing or providing services are eligible for a CGTMSE guarantee, however businesses that engage in retail commerce are not. The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) insures Mudra scheme loans up to a certain amount for approved applicants.
SBI e-Mudra Loan Documents Required
For Shishu, Kishor, or Tarun loan schemes, the following documents must be submitted:
A completed application form with passport-sized pictures is required.
Passport, voter’s ID card, driver’s licence, PAN Card, and Aadhaar Card are all acceptable forms of identification.
A recent telephone or power bill, a voter’s ID card, an Aadhaar card, or a passport are all acceptable forms of proof of residence.
Bank statement from the last six months as proof of income
If appropriate, proof of SC/ST, OBC, or any other minority group membership.
SBI may request more documentation.
Borrowers who take out a Mudra loan are given RUPAY Debit Cards called MUDRA Cards for cash withdrawals and POS transactions. There are three loan categories: Shishu, Kishor, and Tarun.
Frequently Asked Question and Answer
1. Who is eligible to apply for an SBI Mudra loan?
Ans: SBI offers Mudra loans to businesses in the manufacturing, trading, and services sectors, as well as allied agricultural operations.
2. How can I acquire a loan from SBI for Rs. 50,000 or more?
Ans: You can apply for a direct loan from SBI or apply for a Mudra/e-Mudra loan from SBI if you need a loan of Rs. 50,000 or more.
3. What is the time frame for repaying an SBI Mudra loan?
Ans: Working capital funds are receivable on demand, whereas term loans have a repayment duration of 3 to 5 years, including a 6-month moratorium period.
4. Can persons who live in cities apply for an SBI Mudra loan?
Ans: Yes, both urban and rural residents are eligible to qualify for an SBI Mudra loan.
5. What is a Mudra Card?
Ans: A Mudra Card is a debit card that may be used to withdraw funds from a loan in instalments. It will be used as a debit/ATM card to make commercial purchases by withdrawing funds.
6. Is there any financial assistance available through the Mudra loan programme?
Ans: No, the Mudra lending scheme does not include a subsidy.
7. What is the average time it takes for banks to approve a Mudra loan application?
Ans: The Mudra loan processing period for approval and disbursal is approximately 7-10 working days from the date of loan application form submission. However, it varies from case to case and is determined by the size of the loan, the applicant’s profile, and the nature of the firm.
8. Is the overdraft facility of up to Rs 5000 covered under the Mudra Scheme?
Ans: Yes, a Rs. 5000 overdraft sanctioned under the Pradhan Mantri Jan Dhan Yojana (PMJDY) is covered by the Mudra Loan.
9. How do I obtain/download the SBI Mudra loan application form via the internet?
Ans: An applicant can apply for an SBI Mudra loan by downloading the loan application form in PDF format from the bank’s official website or by clicking here. The downloadable form must be filled out completely, and all necessary documents must be collected and delivered to the local bank branch.
10. Who should I complain to if my Mudra loan application form is denied by the bank manager?
Ans: If you believe your loan application was denied on false grounds, you have the right to file a complaint with the higher bank authorities. However, acceptance or rejection of Mudra loan applications is at the absolute discretion of the relevant bank, which takes into account the applicant’s creditworthiness, repayment history, and financial stability.
11. Is there any kind of SBI Mudra Loan subsidy?
Ans: No, the SBI Mudra Loan does not include a subsidy.
12. What is Mudra RupayCard, and how does it work?
Ans: When you successfully open a Mudra Loan account with SBI, you will receive a Mudra RupayCard. The card can be used as both a debit and an ATM card, and it can be used to withdraw money and perform transactions anywhere they are needed. You can also use the card to conduct business transactions at the point of sale.
13. What are the alternative options for applying for a Mudra Loan from SBI?
Ans: You can apply for a Mudra Loan from SBI by going to the bank’s nearest branch and bringing all of the required documentation. If you meet all of the required eligibility criteria, a bank representative will assist you with the application procedure for a Mudra Loan. The bank will evaluate your application and documents when you submit them, and if everything is in order, the loan will be issued to your bank account within a few days.
14. I own a small business, I live in a village. Is it possible for me to apply for a Mudra Loan?
Ans: Yes, even if you live in a village, you are eligible for a Mudra Loan. Before applying for a Mudra Loan, be sure you match the eligibility criteria.
15. Is it possible for me to get a Mudra Loan for Rs.20 lakh?
Ans: No, the highest loan amount you can get with a Mudra Loan is Rs.10 lakh.
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