Details
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 Assistance
upto Rs 90% of the Project Cost
Interest Rate per annum chargeable to
- SCAs – 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 Period
3 months.
Note
On repayment of loans under Micro-Credit, through the concerned SCAs, the eligible beneficiaries can avail any loan under NSFDC scheme.
Eligibility
The scheme is for entrepreneurs of the Scheduled Caste Category.
Application Process
Offline
The interested eligible person shall contact the nearest Channeling Agency (https://nsfdc.nic.in/channel-patrners/ ) .
Indicative Format
- 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
Documents Required
The applicants are required to submit an application in NSFDC’s format with details of business and copies of caste, income and experience etc. at the channelising agency office.
Indicative Documents
- Aadhaar Card
- Income certificate
- Caste certificate
- Bank account statement
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