About
CGTMSE(Credit Guarantee Fund Trust for MSE)
CGTMSE scheme is a significant initiative designed to
support first-generation entrepreneurs in India, encouraging them to pursue
self-employment opportunities. By offering credit guarantee support for
collateral-free and third-party guarantee-free loans, it seeks to remove one of
the major hurdles for Micro and Small Enterprises (MSEs)—the absence of
collateral.
·
Objective
- Collateral-free loans up to Rs. 2 crore: The scheme provides credit guarantees for loans without the need for collateral or third-party guarantees.
- Guarantee coverage: Up to 85% for Micro Enterprises on loans up to Rs. 5 lakh. 75% coverage for other MSEs. 50% coverage for loans related to retail activity.
Eligibility
1
The scheme is open to both existing and aspiring entrepreneurs, ensuring that both new and growing businesses can benefit from this support.
2
Assesment by Member Lending Institution (MLI) as viable and profitable, with a good track record. Borrower must not be defaulter.
How to Apply?
01
Identify eligible financial institutions registered under CGTMSE
02
Required Documents-• Identity proof i.e. Aadhaar Card, Voter ID Card, etc. • Proof of age • Caste certificate, if applicable • Disability certificate, if applicable • Any other document, if required.
03
Submit the loan application with the required documents
