SVANidhi Scheme – A Quick Guide to Know What it is and How You Can Benefit from it
A recent COVID-19 relief measure – Street Vendor’s Atma Nirbhar Nidhi (SVANidhi) scheme.
Street Vendor’s Atma Nirbhar Nidhi (SVANidhi) scheme was announced by the Central Government in July to help street vendors. This micro credit facility is designed to meet the working capital needs of street vendors to resume their livelihoods that have been negatively affected because of the COVID-19 lockdown.
Here are the main features of the SVANidhi scheme:
Loan Type: Micro Credit Facility
Maximum Loan Amount: Rs. 10,000
Repayment Period: 12 months with no moratorium
Interest Rate: Sum of three factors:Repo-Linked Lending Rate (RLLR), Business Strategy Spread and Credit Risk Premium
Security: Collateral-free scheme
Mode of Loan Facility: PM SVANidhi Mobile App (Google Store)
Pre-payment/Foreclosure charges: Nil
Processing Charges: Nil
- Interest subsidy of 7% per annum to be credited quarterly to the borrower’s bank account for prepayment of the loan
- Borrowers can get cashback up to Rs. 1,200 on executing digital transactions
For more details, please check the PM SVANidhi website: https://www.pmsvanidhi.mohua.gov.in/