PM MUDRA Loan Yojana 2026 – Apply Online, Eligibility & Benefits

📋 Overview

PM MUDRA (Micro Units Development and Refinance Agency) Loan Yojana provides affordable loans to small businesses, self-employed individuals and entrepreneurs. The scheme offers three loan categories: Shishu (up to ₹50,000), Kishore (₹50,001 to ₹5 lakh) and Tarun (₹5 lakh to ₹10 lakh). In 2024–25, a new Tarun Plus category up to ₹20 lakh was introduced for existing borrowers. No collateral is required for MUDRA loans.

✅ Key Benefits

• Loan from ₹10,000 to ₹10 lakh (up to ₹20 lakh for Tarun Plus)
• No collateral or security required for loans up to ₹10 lakh
• Lower interest rates compared to private lenders
• MUDRA Card issued like a credit card for working capital
• Available through banks, NBFCs, MFIs and regional rural banks
• Supports manufacturing, trading and service sector businesses
• Helps self-employed individuals, artisans and small traders

👤 Eligibility Criteria

Any Indian citizen running a non-farm income-generating activity can apply for a MUDRA loan. This includes shop owners, vegetable vendors, food stall owners, tailors, repair shops, small manufacturers and more. The business can be new or existing. There is no minimum age limit mentioned, but the applicant must be of legal age (18 years). The credit history of the applicant is considered by the lending institution.

📄 Required Documents

• Aadhaar Card and PAN Card
• Proof of business address (utility bill or rent agreement)
• Business proof or plan for new businesses
• Bank statements for the last 6 months
• Passport size photographs
• Caste certificate (for SC/ST applicants for priority lending)

🚀 How to Apply

1. Visit your nearest bank, NBFC or microfinance institution
2. Ask for the MUDRA Loan application form
3. Fill in business details, loan amount needed and personal information
4. Submit along with all required documents
5. You can also apply online at udyamimitra.in – the official portal
6. Select loan type (Shishu, Kishore or Tarun) as per your need
7. After verification and approval, loan amount is credited to your account

❓ Frequently Asked Questions