Central Government · Ministry Of Social Justice and Empowerment
Credit Based Schemes For SC - Micro Credit Finance
Main benefit
Financial Assistance up to 90% of Project Cost of Rs.
Can you get this scheme?
Conditions at a glance
- Category: SC
- Work: Business / self-employed
About
A Micro finance scheme scheme by Ministry of Social justice and Empowerment for Entrepreneur of Scheduled Caste Category. Financial Assistance up to Project Cost of Rs. 1,40,000 is provided for small income generating activities
Unit Cost
Upto Rs 1,40,000/-Quantum of Assistanceupto Rs 90% of the Project Cost
Interest Rate per annum chargeable toSCAs - 2 %Beneficiaries - 5 %
Benefits
- Financial Assistance up to 90% of Project Cost of Rs. 1,40,000 for small income generating activities at Interest rates chargeable at 5%Repayment Period
- Within 3 and ½ years, in quarterly installments from date of each disbursement including moratorium period
- Moratorium Period3 months.
- Note
- On repayment of loans under Micro-Credit, through the concerned SCAs, the eligible beneficiaries can avail any loan under NSFDC scheme.
Who can apply
- The scheme is for entrepreneurs of the Scheduled Caste Category.
Documents needed
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How to apply
Offline
The interested eligible person shall contact the nearest Channeling Agency (https://nsfdc.nic.in/channel-patrners/ ) .
Indicative Format
Https://Nsfdc.
Nic.
In/Uploaded
Files/Other/Form/Termloan-English.
The loan applications are to be submitted by the eligible target group (Scheduled Castes persons having annual family income up to Rs. 3.00 lakhs ) to the District Offices of State Channelizing Agencies (SCAs).
The District Offices of SCAs/CAs forward these applications, after scrutiny, to their Head Offices. The viability of the project proposals are appraised by the SCAs and the viable projects are forwarded to NSFDC along with their recommendations for sanction.
Eligible target group can also submit their loan application to other Channelising Agencies of NSFDC such as Regional Rural Banks/ Public Sector Banks/ NBFC-MFIs etc. with whom NSFDC has signed Memorandum of Agreements.
The said project proposals are appraised by the Project and Banking Desk. The appraisal report is submitted to the Project Clearance Committee (PCC) for their concurrence.
The proposals which are found to be in order are recommended for sanction. After sanction, Sanction Letters called as Letter of Intents(LOIs), along with Terms & Conditions are issued to the SCAs/ RRBs/ Public Sector Banks/ NBFC-MFIs etc. for acceptance.
After acceptance of the terms and conditions of the sanction and fulfillment of Prudential Norms, as applicable, funds are disbursed to the SCAs/ RRBs/ Nationalized Bank for onward disbursement to the beneficiaries.
The disbursement of funds is made by NSFDC on receipt of demand from the SCAs/ RRBs/ Public Sector Banks/ NBFC MFIs. The loans are to be repaid by the beneficiaries as per the repayment schedule stipulated by the SCAs/CAs
Common questions
What is moratorium period?
A moratorium period refers to a particular period of a loan tenure during which the borrower does not have repay anything.
It can be described as a waiting period before the borrower will have to start paying the equated monthly installments (EMIs) for his or her loan Does the scheme provide loans to all Scheduled Castes persons?
No NSFDC provides loans only to economically poor sections of Scheduled Castes whose annual family income is up to Rs. 3.00 lakh both in rural & urban areas.
How does the scheme provide assistance?
The applicants should contact the Channelizing Agencies if they wish to avail the scheme.
With what type of Projects can I avail this schemes?
These are indicative list of projects: Bricks Making Readymade Garments Manufacturing Handlooms/Powerlooms Handicrafts Making Footwear Manufacturing Silver Ornaments making Bakery Bamboo Furniture Making Battery Making Bicycle Repairing Shops Bicycle Seat Cover Making Bio-gas Plant Candles Manufacturing Car Upholstery & Seat Making Cement Solid Blocks Coir Industry Carpet Manufacturing Copperware/Utensils Manufacturing Exercise Books & Registers Making Ginger & Turmeric Processing Granite Tiles Handmade Papers Ornaments Polishing Units Stone Crushing Supari Manufacturing Printing Press Furniture Making Flour Mill Soft Toys making Embroidery/Knitting Woollen Garments/Shawls making etc. Hosiery Units Jute Fabrics/Bags Leather Garments Leather Processing Leather&Rexine Articles Lime Kilns Plastic Bags Manufacturing Potteries Pouch Making Powerlooms Prawn Culture Rubber Industry Shoe/Chappal Manufacturing Umbrella Making Fiber Glass Manufacturing Mineral Water Bottling Plant Oil mills Saw Mills Soft/Stuffed Toys Making
Official links
nsfdc.nic.in/channel-patrners