Advisory:

• Extended by: MUDRA loans can be extended only by banks, NBFCs, MFIs and other eligible financial intermediaries as notified by MUDRA Ltd. Before applying for Mudra Loans Customer should validate the eligibility of Institution offering Mudra Loans.
• Purpose of assistance:  Mudra loans to be provided only for acquiring capital assets and/or working capital/marketing related requirements. Therefore, Mudra loan is extended for a variety of purposes which result in income generation and employment creation. In line with this customer should refrain from availing funds in the name of Mudra for personal purposes.
• Amount of assistance: Up to 10 lakhs in three categories viz. Shishu, Kishore and Tarun. Therefore, any loan which is above Rs.10 lakhs cannot be classified under Mudra Scheme.
• Security: No collateral can be taken in Mudra Loans. If any organization asks for a Collateral in the name of Mudra loan, it is an indicator of fraud Mudra Loan.

 The Bank will Undertake suitable action against any kind of fraud committed under the garb of Mudra Loan.