Government offering collateral-free loans of ₹3 lakh... Find out who is eligible and how to avail the benefit..

If financial constraints are preventing you from starting your own business, there is a government scheme designed to assist you directly. If you possess a skill and wish to turn it into a business venture, the Central Government will provide support. The government offers collateral-free loans of up to ₹3 lakh to such individuals, enabling them to start their own enterprises. Furthermore, the government provides an interest subsidy on these loans, making repayment easier for the borrower.

This initiative is known as the PM Vishwakarma Yojana, a scheme that has been operational for three years. It provides loans to traditional artisans and craftspeople. Eighteen different trades are covered under this scheme, benefiting artisans and craftspeople from both rural and urban areas.

**18 Trades Benefiting from the PM Vishwakarma Yojana**
The scheme covers the following 18 trades: carpenters, boat makers, armourers, blacksmiths, hammer and toolkit makers, locksmiths, goldsmiths, potters, sculptors and stone carvers, stone breakers, leather workers, masons, basket/mat/broom makers and coir weavers, traditional doll and toy makers, barbers, garland makers, washermen, tailors, and fishing net makers.

**Loan of ₹3 Lakh Provided in Two Phases**
Under the Vishwakarma Yojana, the ₹3 lakh loan is disbursed in two stages. In the first phase, a loan of ₹1 lakh is provided to start the business, which must be repaid within 18 months. Subsequently, a loan of ₹2 lakh is granted for business expansion, with a repayment period of 30 months.

In addition to the loan, skilled individuals across these 18 trades receive training from master trainers. A stipend of ₹500 is also provided alongside the training. **Provisions Regarding Interest**
Under the Vishwakarma Yojana, an interest subsidy is provided on loans of ₹3 lakh, requiring an interest rate of only 5%. Notably, no collateral or guarantee is required to avail of this loan.

**Required Documents and Application Process**
Certain documents must be submitted when applying for the loan. These include an Aadhaar card, PAN card, income certificate, caste certificate, identity proof, proof of residence, passport-sized photograph, a copy of the bank passbook, and a valid mobile number.

Applicants must be between 18 and 50 years of age. To apply, visit the website pmvishwakarma.gov.in and click on the 'Apply' option. You will need to register on the site; once registered, a registration number and password will be sent to your mobile number via SMS. Finally, carefully read and fill out the application form, attach the required documents, and submit it.

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