PM SVANidhi Scheme: ₹10,000 Loan for Street Vendors

The Promise: Ending the tyranny of the moneylender (who charges 10% per day) by giving formal credit at subsidized rates. The Catch: "Dalals" (middlemen) who stand outside banks and promise to "pass" your loan for a commission.

1. Who is Eligible?

Any street vendor (Sabzi wala, Chaat wala, Barber, Cobbler, etc.) possessing:

• Letter of Recommendation (LoR) from the Municipality (ULB).
• Identity Card issued by ULB.
• Vending Certificate.

If you don't have these, you can apply for a Letter of Recommendation online on the portal itself.

2. The Loan Ladder

It works on trust.

1. Term 1: Get ₹10,000. Repay it in 1 year.
2. Term 2: Get ₹20,000. Repay it.
3. Term 3: Get ₹50,000.

Bonus: If you repay on time, you get 7% Interest Subsidy. If you do digital transactions (QR code), you get up to ₹1,200 Cashback per year. Ideally, the loan becomes interest-free!

3. How to Apply (Safe Way)

1. Visit pmsvanidhi.mohua.gov.in.
2. Click "Apply for Loan".
3. Enter Mobile Number (linked to Aadhaar).
4. Fill the form and select your preferred lender (Bank) in your area.

[!warning] Scam Radar

• Red Flag: "I am from the Bank. Give me ₹200 for file charges." (Banks do NOT charge file fees for SVANidhi).
• Red Flag: Fake approval SMS with a link to "Claim Loan".
• Action: Apply legally. If a bank manager refuses excessively, complain to the District Magistrate (DM).

4. The "Cashback" Secret

Many vendors take the loan but don't use the QR code. Pro Tip: Use the QR code provided by the bank for your sales. Every digital receipt earns you cashback. This money directly cuts down your EMI burden.