Mudra loan apply: how to apply for a Mudra loan online and at a branch

Mudra loan apply: the three ways to apply

A Mudra loan is applied for at a lender, because MUDRA itself does not lend (Mudra performance data). There are three routes.

The first route works everywhere. For the portals, check the scheme list on the portal itself before you start, because the two government sites do not describe Mudra in the same way.

Before you apply: three checks

1. Your need fits a category. Shishu is up to ₹50,000, Kishor is above ₹50,000 to ₹5,00,000, Tarun is above ₹5,00,000 to ₹10,00,000, and Tarun Plus is above ₹10,00,000 to ₹20,00,000 (Mudra loan categories). See the four Mudra categories.
2. Your activity is non-farm and earns income. Manufacturing, processing, trading and services qualify, and so do allied activities such as poultry or bee keeping. Crop loans do not. A Mudra loan is not for personal spending (Mudra FAQ, Mudra loan categories, Bank of Maharashtra).
3. Your papers are ready. There is no fixed national document list. Each lender sets its own (Mudra FAQ). The Mudra documents guide shows how to prepare.

Steps to apply for a Mudra loan online

The portals change their screens without notice, so this list gives the stages and not the screens.

1. Choose the route. Pick a lender's own website, the Udyamimitra portal or the JanSamarth portal.
2. Check eligibility on the portal. Udyamimitra asks you a few questions and matches you with a scheme. JanSamarth does the same and checks your details against government databases such as Udyam, UIDAI, GST and CIBIL in real time (Udyamimitra portal, PIB press release).
3. Fill in the application. Give your business details and upload documents. Udyamimitra says it fills in the rest from linked data (Udyamimitra portal).
4. The lender decides. On Udyamimitra you can view offers from over 200 lenders and take digital approval from the bank you choose (Udyamimitra portal).
5. Track the application on the same portal.

JanSamarth is open at any hour. It had processed about 54,10,000 applications by 01-Jun-2026 across all its schemes (PIB press release, PIB press release).

The Mudra loan application form

Shishu loans use a one-page application form. Kishor, Tarun and Tarun Plus loans use a three-page indicative form (Mudra FAQ). Banks publish their own versions. Bank of Maharashtra, for example, posts one Shishu form and one Kishore and Tarun form, each with a checklist (Bank of Maharashtra). Use the form of the lender you are applying to. Mudra says the application is made in the format the lender provides (Mudra FAQ).

How long Mudra loan approval takes

Mudra gives one timeline. For Shishu loans, processing normally takes 7 to 10 days after the lender has complete information (Mudra FAQ). For other categories, Mudra publishes no timeline.

For loans up to ₹25,00,000 to micro and small enterprises, RBI sets a limit of 14 working days for the lender's credit decision (RBI Master Direction, lending to MSME sector). The clock runs from a complete application, so missing papers cost you days.

Collateral and who guarantees the loan

Banks may not take collateral on loans up to ₹20,00,000 to micro and small enterprises, for loans sanctioned or renewed from 01-Apr-2026 (RBI notification, 09-Feb-2026). Lenders usually take a charge on the assets the loan buys. Bank of Maharashtra, for example, takes a first and exclusive charge on assets created from the loan and nil collateral (Bank of Maharashtra). The guarantee behind Mudra loans is CGFMU, which a lender may apply for (State Bank of India). The CGTMSE comparison explains the difference between the two guarantees.

Avoid agents and fake Mudra offers

MUDRA appoints no agents or middlemen for Mudra loans. It tells borrowers to keep away from anyone posing as an agent of Mudra or PMMY (Mudra). These are warning signs, written as general advice:

• Someone asks for a fee to "sanction" or "release" a Mudra loan.
• Someone asks you to share a one-time password or your net-banking login.
• A website or message promises a fixed approval or a fixed time.

Apply only at a lender or on a government portal. The Capnix fee, where a lender pays one, is explained on why Capnix is free. Capnix never charges the business and does not apply for a Mudra loan on a business's behalf.

If a lender says no to your Mudra loan

A lender may refuse. It decides on the viability of your business and the sufficiency of your documents (NCGTC CGFMU FAQ). Mudra gives three next moves (Mudra FAQ):

1. Ask for the reason and escalate within the bank. If the officials were at fault, you can register a grievance with the bank's Regional or Zonal Manager.
2. Approach another lender. You can go to another bank, or an NBFC or microfinance institution in your area.
3. Check your readiness. Lenders read the same things again and again: how old the business is, how it banks, how it files and how it repays. Run the loan readiness check to see where a file is weak.

The details of each bank's grievance mechanism are available at its branch (Mudra FAQ).

Your next step

Before you apply, run the free loan readiness check. Then read the Mudra loan guide, the Mudra eligibility rules and the Mudra documents guide, or go back to the government schemes hub. Hindi readers can use the Mudra loan kaise le guide.