How To Do
Govt Loan Eligibility Checker
Two of India's biggest non-collateral business loan schemes — PM Vishwakarma (artisans, 18 traditional trades) and PM Mudra (Shishu / Kishore / Tarun) — have very different eligibility rules. Answer 3 questions and see which scheme fits, with the loan range and documents you'll need.
Quick scheme comparison
| Feature | PM Vishwakarma | PM Mudra |
|---|---|---|
| Who qualifies | 18 traditional trades only | Any non-farm small business |
| Loan size | Up to ₹3 lakh (₹1L tranche-1, ₹2L tranche-2) | Up to ₹10 lakh (Shishu / Kishore / Tarun) |
| Interest rate | 5% (concessional) | ~8.5–12% (bank's MCLR-linked) |
| Collateral | None | None |
| Extras | ₹15K toolkit grant + ₹500/day skill training stipend + digital incentive | Working capital + term loan flexibility |
| Apply via | pmvishwakarma.gov.in | Any PSU bank, RRB, NBFC-MFI, or udyamimitra.in |
PM Mudra slabs
- Shishu — up to ₹50,000. For pre-revenue or just-starting businesses.
- Kishore — ₹50,001 to ₹5 lakh. For businesses up & running, needing scale capital.
- Tarun — ₹5,00,001 to ₹10 lakh. For established businesses ready to expand. Tarun Plus (up to ₹20 lakh) is also available since FY 2024-25 for borrowers who have repaid an earlier Tarun loan on time.
FAQ
Can I apply for both schemes?
No, not simultaneously. PM Vishwakarma beneficiaries are not eligible for PM Mudra during the active loan period. Pick whichever fits — Vishwakarma is cheaper (5% rate) but only for the 18 listed trades and capped at ₹3L.
Do I need an Udyam / Udyog Aadhaar?
For Mudra Tarun (₹5L+), most banks expect Udyam registration. Shishu and Kishore are usually fine without it. Vishwakarma uses its own portal-based registration; you don't need Udyam separately.
How long does Vishwakarma processing take?
Three-step process: portal registration → Gram Panchayat / ULB verification → district committee approval. Usually 30-45 days end-to-end. Skill training (5-7 days) can run in parallel and unlocks the ₹15K toolkit voucher.
What if my Mudra application is rejected?
Mudra has no central eligibility test — each bank decides. If one rejects, try another (PSU banks have higher Mudra disbursal targets than private banks). NBFC-MFIs are usually most accessible for Shishu loans.
Is the interest tax-deductible?
Yes — interest paid on either loan is a business expense, fully deductible from your business income. Use our Income Tax Calculator for the bottom-line impact.