PM Mudra Loan Yojana 2026
The (PMMY) is a government scheme launched by the Government of India to provide financial support to small businesses and entrepreneurs.
Under this scheme, eligible applicants can get a business loan up to ₹10 lakh without collateral.
The scheme operates through (MUDRA Bank).
In this guide, you will learn:
- How to apply for PM Mudra Loan online
- Loan types and limits
- Interest rate details
- Eligibility criteria
- Required documents
What is PM Mudra Loan Yojana?
PM Mudra Yojana is a government-backed business loan scheme that helps:
- Small shop owners
- Startups
- Women entrepreneurs
- MSMEs
- Self-employed individuals
It supports non-corporate, non-farm small businesses.
Types of PM Mudra Loans
The loan is divided into three categories:
1️⃣ Shishu Loan
- Loan up to ₹50,000
- For new startups
2️⃣ Kishore Loan
- ₹50,000 to ₹5 lakh
- For growing businesses
3️⃣ Tarun Loan
- ₹5 lakh to ₹10 lakh
- For established businesses
PM Mudra Loan Interest Rate 2026
Interest rates vary depending on the bank.
Generally ranges between: 👉 8% to 12% per annum
Factors affecting rate:
- Credit score
- Business profile
- Bank policy
PM Mudra Loan Eligibility
To apply, you must:
- Be an Indian citizen
- Age between 18–65 years
- Have a small business or startup plan
- Not be a defaulter of any bank
Eligible businesses include:
- Retail shops
- Beauty parlors
- Tailoring units
- Repair shops
- Small manufacturing units
Documents Required
- Aadhaar Card
- PAN Card
- Address proof
- Business proof
- Bank statement (6 months)
- Passport size photo
Some banks may request additional documents.
How to Apply for PM Mudra Loan Online?
Follow these steps:
- Visit the official website
- Download application form
- Choose loan category (Shishu/Kishore/Tarun)
- Fill details carefully
- Submit to nearest bank branch
You can apply through:
- SBI
- Bank of Baroda
- Punjab National Bank
- HDFC Bank
- Other scheduled banks
Can You Apply Through Online Banking?
Many banks allow online application through:
- Net banking
- Bank official website
- MSME loan section
Check your bank website for digital application facility.
Benefits of PM Mudra Loan
✔ No collateral required
✔ Easy approval process
✔ Government-backed scheme
✔ Supports women entrepreneurs
✔ Boosts small businesses
PM Mudra Loan for Women
Women entrepreneurs get special benefits under this scheme including:
- Lower interest rates
- Support under women self-help groups
- Priority approval in some banks
Frequently Asked Questions
Q1. Is PM Mudra Loan collateral free?
Yes, no security is required.
Q2. How long does approval take?
Usually 7–15 working days.
Q3. Can students apply?
Only if starting a business.
Q4. Is CIBIL score required?
Yes, good credit score improves chances.
Q5. Is this scheme available across India?
Yes, it is a nationwide scheme under the Government of India.
Final Words
The PM Mudra Loan Yojana 2026 is one of the best government business loan schemes available in India. If you are planning to start or expand your small business, this scheme can provide financial support up to ₹10 lakh.
Make sure to check eligibility and apply through a recognized bank.