Check features, benefits, eligibility, interest rate & how to apply for PM SVANidhi loan
PM Street Vendor's AtmaNirbhar Nidhi, popularly known as PM SVANidhi Yojana, is a micro-credit facility for street vendors. The Ministry of Housing and Urban Affairs launched this scheme to support the livelihood of street vendors affected by the COVID-19 pandemic. The scheme aims to empower street vendors with necessary financial support, thereby enhancing economic security. With the scheme, you can get affordable working capital loans of up to ₹10,000 with a repayment tenure of 1 year.
Here are some important details of the PM SVANidhi Yojana:
Scheme Launch Date |
June 01, 2020 |
Scheme Extension |
The scheme has been extended up to December 2024 |
Executing Ministry |
Ministry of Housing and Urban Affairs (MoHUA), Government of India |
Beneficiaries |
Street hawkers vending in urban regions as on and before March 24, 2020 |
Loan Amount Offered |
Up to ₹10,000 |
Interest Rate |
7% p.a. |
Here are some key parameters of the scheme:
To provide a working capital loan of up to ₹10,000 at an affordable interest rate
To incentivise timely repayment of loan
To reward digital transactions with cashback
The subsidised interest rate for the PM SVANidhi Scheme is 7% p.a. The interest rates are fixed as per the prevailing loan interest rates offered by the following institutions:
Scheduled Commercial Banks (SCBs)
Regional Rural Banks (RRBs)
Small Finance Banks (SFBs)
SHGs (self-help groups)
Cooperative banks
The interest rate depends on the RBI guidelines if you get the loan from the following entities:
Non-Banking Financial Company-Micro Finance Institutions (NBFC-MFIs)
Non-Banking Financial Companies (NBFCs)
If the non-NBFC lenders are not covered under the RBI guidelines, the interest rates would be fixed as per the RBI guidelines for NBFC-MFIs.
Follow these steps to apply for a loan under the PM SVANidhi Scheme:
Step 1: Visit the official website and click on the “Apply Loan” tab for the amount you want to apply for. For instance, “Apply Loan 10K” or “Apply Loan 20K”
Step 2: Provide your mobile number and enter the captcha code, then click on “Request OTP”
Step 3: Choose your category and fill in the required fields
Follow these steps to check the PM SVANidhi loan status online:
Step 1: Visit the official website of the PM SVANidhi Scheme
Step 2: Log in using your ID and password
Step 3: View the loan status on the screen
Take a look at the benefits that you can get with PM Svanidhi Scheme:
Beneficiaries receive a 7% per annum interest subsidy on loans, which is credited quarterly, reducing the financial burden
As a street vendor, you can get collateral-free working capital loans of up to ₹10,000 for a tenure of 1 year. Timely repayment can allows you to access higher loan amounts in subsequent cycles, up to Read More₹50,000. Read Less
The scheme encourages vendors to adopt digital payment methods. You can earn cashback incentives for digital transactions, which can total up to ₹1,200 annually.
Regular repayment of loans can help improve your credit score, enhancing your ability to secure larger loans in the future
You can repay your loans early without incurring any penalties, which encourages faster debt clearance
The loan repayment period is typically 12 months, allowing you to manage repayments according to the cash flow
You will get the loan approved within 30 days under the SVANidhi Scheme.
Yes, it is necessary to link your mobile number with your Aadhaar Card to avail of a loan under the PM SVANidhi Scheme. It is because the loan application process involves OTP-based Aadhaar verification.
The loans provided under the PM SVANidhi Scheme are unsecured in nature. Therefore, you need not pledge any collateral to avail a PM SVANidhi loan.
No, you do not need to pay any penalty for the pre-closure of the working capital loan under the PM SVANidhi Scheme.