Digital Signature Certificate, DSC Renewal Online: eMudhra

MUDRA stands for Micro Units Development and Refinance Agency. Under this scheme small scale businesses can avail loans ranging from INR 50,000 to INR 20 lakhs on the basis of three different categories. Launched in 2015, the Pradhan Mantri Mudra Yojana aims to help small scale businesses to expand their business and attain success. Both, profit as well as non-profit sector organisations can avail this loan and take benefit from it. Moreover, the Mudra Yojana is a loan scheme launched by the Government of India that offers loans at competitive interest rates to the borrowers MSMEs as well as self employed applicants, without having to provide any collateral or security to the bank. You can avail the E-mudra loan scheme online at various bank portals if you fulfil the eligibility criteria.

Mudra Loan Interest Rate

Various banks offer Mudra loans at different interest rates to help non-agricultural income generating microenterprises that require a credit of below INR 10 lakhs. The interest rate on the Mudra loans are based on the applicant’s eligibility along with other features. There are several public as well as private sector banks offering MUDRA loans. Certain guidelines along with the final rate of interest are decided by the lender itself.

How to Apply?

You can apply online for an E-Mudra Loan from the comfort of your home. The online application process is simple and hassle free. All you need to do is:

  • Head over to our official website through which you wish to apply for the E-Mudra Loan.
  • Download the application form of the scheme which you wish to avail – Shishu, Kishore, or Tarun.
  • Duly fill the application form, once you have downloaded it. It is important to make sure that all the details mentioned in the form are correct.
  • Attach all the required documents along with the application form and submit it by visiting the branch of the lender from whom you are availing the Mudra Loan.
  • After the submission of all the necessary documents, the lender will verify them. If all the details are correct, then the bank shall disburse the loan amount into your bank account.

Applicants can apply for a collateral free Mudra loan for up to INR 10 lakhs. These loans are being offered by the banks at low interest rates along with low processing fees and are covered under the Credit Guarantee Schemes from the Government of India. These loans can be used as term loans, working capital loans, and overdraft facilities.

Since the CIBIL score is not considered by the banks in case of a Mudra loan. There are various other eligibility parameters that are to be taken care of while applying for a Mudra loan. Small or micro firms engaged in the income generating activities can avail a Mudra loan. Moreover, individuals belonging to the SC/ST category as well as women entrepreneurs can apply for Mudra loans at concessional rates of interest.

Categories of Mudra Loan

Mainly there are three categories for the Mudra loan that are currently being offered by the banks. The Mudra loan is basically classified under three different categories on the basis of the loan amount. The three categories are as follows:

Shishu:- Loan amounts up to INR 50,000 are classified under the Shishu category.

Kishore:- Whereas, the Kishore category contains the loans of amounts from INR 50,000 to INR 5 lakhs.

Tarun:- The Tarun category on the other hand, contains loan amounts exceeding INR 5 lakhs up to the amounts of INR 10 lakhs. – Moreover, the interest rate applicable on these three categories is in the range of MCLR + 0.40% to MCLR + 1.65%.

Eligibility & Documents Required

Any Indian businessman who either manufactures, trades goods or even plans for service sector activities can apply for a Mudra loan for up to INR 10 lakh. Applicants can apply for this loan from a public sector bank, private sector bank, regional rural bank, small finance bank, and micro finance institutions. However, there is a certain set of eligibility criteria that needs to be fulfilled in order to get approval on your loan application. For your reference. The eligibility criteria along with the list of documents required to apply a Mudra loan are shown in the table below:


Eligibility Criteria


Age Limit

18 to 65 years of age

Who can Apply

New as well as existing Business firms


No collateral is required

Where can you Apply

Public Sector Banks, Private Sector Banks, Regional Rural Banks, Small Finance Banks, and Micro Finance Institutions

Documents Required

ID Proof, Proof of residence, Filled Application form and Passport-size Photos


Here are the key features and benefits of Mudra loan:


  • Banking and financial services can be availed in both rural and urban areas.
  • Financial backing can be obtained by micro-small businesses and start-ups.
  • Business loans can be taken for small amounts at affordable interest rates.
  • The borrower’s credit guarantee is taken by the government, so if a borrower is unable to repay the amount borrowed, the…
  • Food vendors, shopkeepers and other small business owners can make the most of this scheme.