Eligibility of borrower:
- Having current account holder of the Bank.
- Borrower / partners / directors must be a member of the bank.
- Any individual, above 18 years of age
- For setting up of project costing above Rs.10 lakh in the manufacturing sector and above Rs. 5 lakh in the business/service sector, the beneficiaries should possess at least VIII standard pass educational qualification.
- Assistance under the Scheme is available only for new projects sanctioned specifically under the PMEGP.
- For new project only and Project cost Up to Rs. 25 Lacs – for manufacturing sector & Up to Rs. 10 Lacs – for Business / Service sector.
- As per rules of PMEGP Scheme.
Purpose of Loan:
- Purchase of machinery for their own business.
Quantum of Finance:
- For General category - Up to 90% of the cost of machinery.
- For Special (ladies) category - Up to 95% of the cost of machinery.
- Borrower must have Bank's share linkage @ 1% of the loan sanction amount.
- Loan tenure up to 84 months.
- Nominal Processing Charge
- Easy Process
- 2% loan closure charge of loan outstanding amount will be charged, In case of Loan closed above Rs. 10 Lacs through Bank transfer.
- Interest is to be charged on reducing balance method.
- Two Guarantors, out of one must be a non-relative guarantor.
- Hypothecation of machinery.
- Mortgage of property.