PM Mudra Loan Apply Online 2026: Shishu, Kishor, Tarun & ₹20 Lakh Tarun Plus
Pradhan Mantri Mudra Yojana gives collateral-free loans to non-farm small businesses through banks, NBFCs and MFIs. Since the 2024 Budget, a new Tarun Plus category allows up to ₹20 lakh for borrowers who fully repaid an earlier Tarun loan.
Loan categories and eligibility follow the MUDRA official website. Interest rate is not fixed by the scheme — each bank sets it under RBI rules, so confirm with your lender.
Answer 5–7 simple questions and get your eligibility score in 2 minutes.
Check eligibility now →At a glance
- Shishu
- Up to ₹50,000
- Kishor
- ₹50,000 to ₹5 lakh
- Tarun
- ₹5 lakh to ₹10 lakh
- Tarun Plus
- ₹10 lakh to ₹20 lakh (repaid Tarun borrowers)
What is it?
PM Mudra Yojana (PMMY) was launched in 2015 to fund micro and small enterprises in manufacturing, trading, services and activities allied to agriculture (dairy, poultry, beekeeping). Loans are given by commercial banks, RRBs, small finance banks, NBFCs and MFIs — MUDRA itself does not lend directly to individuals.
Benefits
No collateral is required because loans are covered under the Credit Guarantee Fund for Micro Units. Loans can be term loans (machinery, shop setup) or working capital, and a Mudra card may be issued for working capital withdrawals.
Eligibility criteria
- ✓Any Indian citizen with a business plan for an income-generating non-farm activity
- ✓Existing or new micro/small business: shops, vendors, small manufacturing, repair, transport, food processing etc.
- ✓Not a defaulter of any bank or financial institution
- ✓For Tarun Plus: must have taken and fully repaid a previous Tarun loan
Documents required
- ✓Aadhaar card and PAN card
- ✓Proof of business address and Udyam registration (if available)
- ✓Quotation of machinery or items to be purchased
- ✓Bank statement (usually last 6 months) and passport-size photos
- ✓For Kishor/Tarun: projected balance sheet or income estimate, and ITR if filed
How to apply — step by step
- Decide the amount and matching category (Shishu, Kishor, Tarun or Tarun Plus)
- Open jansamarth.in, choose 'Business Activity Loan' and check eligibility with basic details
- Fill the application, upload documents and pick a lender near you
- Alternatively, visit a bank branch and ask for the PMMY application form
- Track the application on JanSamarth; the bank may call for verification before sanction
Important dates
PMMY is an ongoing scheme with no last date. You can apply any time of the year.
Common mistakes to avoid
- ✓Paying agents who promise 'guaranteed Mudra loan' — the scheme charges no agent fees
- ✓Applying for crop farming loans under Mudra; pure agriculture uses KCC instead
- ✓Asking for a much larger amount than the business plan supports
- ✓Ignoring repayment — defaults block future Tarun Plus and other credit
Frequently asked questions
Is collateral needed for a Mudra loan?
No. Mudra loans are collateral-free and covered by a government-backed credit guarantee.
What is the Mudra loan interest rate?
There is no single rate. Each lender sets its rate as per RBI guidelines, so compare banks before applying.
Can a new business get a Mudra loan?
Yes. Both new and existing micro businesses are eligible if they have a viable plan.
Who can get ₹20 lakh under Tarun Plus?
Only borrowers who have already taken a Tarun loan and repaid it fully.
Answer 5–7 simple questions and get your eligibility score in 2 minutes.
Check eligibility now →