Mudra loan for micro businesses
Pradhan Mantri Mudra Yojana loans are given by banks, small finance banks and NBFC-MFIs to non-corporate micro businesses for income-generating activity, without collateral.
Check your own eligibility in 2 minutesFree · no credit-score enquiry · lender-wise amount, rate and EMI
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| Lender | Type | Rate range | Up to | Min score |
|---|---|---|---|---|
| State Bank of India Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Public Sector Bank | 8.50% – 12.00% | ₹20 L | Any |
| Bank of Baroda Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Public Sector Bank | 8.50% – 12.00% | ₹20 L | Any |
| Punjab National Bank Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Public Sector Bank | 8.50% – 12.00% | ₹20 L | Any |
| Canara Bank Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Public Sector Bank | 8.50% – 12.00% | ₹20 L | Any |
| Union Bank of India Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Public Sector Bank | 8.50% – 12.00% | ₹20 L | Any |
| AU Small Finance Bank Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Small Finance Bank | 8.50% – 12.00% | ₹20 L | Any |
| Ujjivan Small Finance Bank Mudra loan (Shishu / Kishore / Tarun / Tarun Plus) | Small Finance Bank | 8.50% – 12.00% | ₹20 L | Any |
As on 26 Oct 2026, RBI repo rate 5.50%. Indicative ranges; your rate depends on your profile.
Who is eligible
- Proprietorships and partnership firms in manufacturing, trading or services
- Non-farm income-generating activity
- Not a defaulter with any lender
How much you can get
- Shishu: up to ₹50,000
- Kishore: ₹50,000 to ₹5 lakh
- Tarun: ₹5 lakh to ₹10 lakh
- Tarun Plus: up to ₹20 lakh for borrowers who have repaid a Tarun loan
Documents
- KYC and business address proof
- Quotation for machinery or stock
- Bank statement and, for Kishore and above, financials or projections
Tips from our credit panel
- Apply through Jan Samarth or your bank branch
- Companies and LLPs are not covered – use CGTMSE-backed loans instead
Common questions
Is there a processing fee on Mudra loans?
Banks generally do not charge processing fees on Shishu loans; for higher slabs it varies by bank.
Can a private limited company take a Mudra loan?
No. Mudra is for non-corporate small businesses such as proprietorships and partnerships.