MSME Loan Online in 59 Minutes [Form]

MSME Business loan in 59 minutes [Online Application At] [Documents,Eligibility,Form] 

The central government has introduced a scheme for the development of small-scale businesses. Along with opportunities for the new industries, the government is also making plans for easy loan process for the entrepreneurs of small-scale industries that are categorized under MSME. The government has also initiated a new portal via which the MSME can apply for a loan in as less as 59 minutes. Gone are the days, when it will take more than months for the approval of the business loans. With this easy initiative of the government, the loan seekers can easily opt for the same.

MSME Loan In 59 Min

Name of the scheme Loans in 59 minutes
Announced  by Finance Minister Arun Jaitley
Overlook by MSME department
Eligible candidates for scheme (Beneficiary) Small-scale entrepreneurs
Online portals
Loan amount Any amount less than 1 crore
Date of scheme Sept 2018

 Advantages of the loan scheme

  • The main aim of the scheme is that the entrepreneurs can complete loan proceedings in just 59 minutes.
  • With the introduction of the latest loan scheme, the application procedure has become easier and less time consuming unlike the traditional method.
  • According to the new method of application for the loan, there is no need to visit the bank. In order to apply for the loan scheme, the small scale business owners have to login to the online portal and accomplish the process from any place.
  • The information provided in the application of the loan scheme will be verified by the portal and in this way, the information will be the basis for deciding whether the entrepreneur is eligible for become the beneficiary of the scheme or not. Therefore, it can be rightly said that this loans scheme initiative by central government will be of immense help for the enterprises categorized under MSME.
  • After the completion of the loan application, the entrepreneur can select the preferred bank from the list provided. The following procedure of the loan will be undertaken by the bank from whom the entrepreneur wishes to get the loan.

Loan amount and rate of interest

  • Amount of loan – The central government has sanctioned up to 1 crore rupees under this scheme loan which has been mainly aimed for the small-scale entrepreneurs.
  • Fixed term of the loan –The time period of the loan has not yet been declared by the government.
  • Rate of interest – No such fixed rate of interest has been declared by the government. Only it has been stated that person 2% of GST on the loan that he opts for.

Eligible candidates for the loan

The micro, small and medium-sized businesses can apply for the loan. No other information about the eligibility criteria of the entrepreneurs has yet been declared by the central government.

Documents required for loan

  1. For the completion of the loan application, details of bank transactions should be provided.
  2. IT and GST account details should be linked to ensure that the entrepreneur is eligible for the loan or not.
  3. The entrepreneur has to scan the KYC form online along with the application form and submit it.

Procedure to apply for the loan

  1. To apply for the loan scheme, the entrepreneurs have to log in via the online portal and signup through it.
  2. After clicking on sign-up option, entrepreneurs have fill up the details of the application form pertaining to the loan scheme. They also have to provide mobile number in addition to other details. An OTP will be sent to the mobile number required for proper registration procedure.
  3. To complete the sign up process, the OTP should be entered correctly.
  4. After this, the entrepreneur will be asked whether they need the fund for a new business or an existing business. Following this step, the entrepreneur will receive a loan application alert.
  5. After the completion of the loan application, the entrepreneur has to choose the bank from which they wish to take the loan.
  6. It is also necessary to provide necessary information about GST and IT department.
  7. In addition to this, bank details should be provided correctly in which the money will be transferred.

The detailed application procedure should be followed only by the new entrepreneurs who wish to avail the benefits of the loan scheme. For the old users, only the registered mobile number and IDs are required.

Which banks are linked with the scheme?

The small industries banks of India are associated in assisting the entrepreneurs who are eligible to avail the benefits of the loan scheme. The list of banks includes 5 public sector banks, and they are enlisted as follows.

  1. Bank of Baroda
  2. State Bank of India
  3. Indian Bank
  4. Small industries development Bank of India
  5. Bank of India
  6. Indian Bank
  7. Allahabad Bank
  8. Bank of Maharashtra
  9. Central Bank
  10. IDBI Bank
  11. Syndicate Bank
  12. UCO Bank
  13. Union Bank
  14. Oriental Bank

Apart from this, other banks are also included which would help beneficiaries in loan facilities.

This initiative by the central government will provide to be beneficial for the entrepreneurs as it often becomes difficult for the entrepreneur to opt for the loan. By the introduction of this scheme, they can apply for the loan in just few minutes without going through much hassle. Thus, it will help to enhance employment opening and encourage small-scale business persons to expand their businesses easily.

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