Credit Guarantee Scheme – Loan Upto 2 Crores without Guarantee

Credit Guarantee Yojana | Scheme to provide Loan upto Rs. 2 Crore approved by Cabinet

Hello friends ! Getting a handsome amount of loan money can give heights to your business. Although there are other schemes like Mudra Yojana etc. for getting the loans, in this article we are discussing about Credit Guarantee scheme. Under this scheme Loans upto Rs. 2 Crore will be given without any guarantee. 2 crore is a huge amount isn’t it ? One might think that how can such loan scheme exist and that even without guarantee. Well, trust us guys, it’s true. This scheme has been recently approved by the Cabinet. Pradhan Mantri Narendra Modi talked about this scheme on the evening before the new year. On 15th of February i.e. On Wednesday this cabinet gave approval to this scheme. In this article, we will be discussing complete details of this without guarantee loan scheme. Let’s find out what this scheme is all about !

Credit Guarantee Yojana – Rs. 2 Crore Loan Scheme

Scheme Launched byCredit Guarantee Find Trust for Micro and Small Enterprises (CGTMSE)

Scheme Approved byCabinet

Scheme Approval Date15th February 2017 / Wednesday

Who will be benefitedMicro and Small Enterprise Sector


Before knowing other aspects of this scheme, let’s find out who is eligible to apply and get the benefits-

  • All Micro and Small Enterprise sectors are eligible under this scheme (Old and New)
  • Eligible Lending Institutions are Banks/Financial Institutions – Scheduled commercial banks (Public Sector Banks/Private Sector Banks/Foreign Banks) and select Regional Rural Banks (which have been classified under ‘Sustainable Viable’ category by NABARD)

Credit Facility/ Loan to be Offered

Under this Credit Guarantee Scheme –

  • Loan upto Rs. 2 Crore will be given
  • The loan amount or Credit will be given without any guarantee to new or existing micro and small enterprises

How to Apply for Without Guarantee 2 Crore Loan Scheme

All eligible micro and small enterprises can apply for this scheme. The application along with the proposal has to be submitted to CGTMSE. If the proposal is good enough, the loan amount will be sanctioned and provided to the party. Below is the procedure for online registration –

Note – Currently only eligible scheduled commercial banks are eligible to apply

  • Download and fill the Undertaking file(link at the end)from the page and visit the Registered office

Guarantee Cover

  • The guarantee cover is 5 years or block of 5 years

Guarantee Free

  • All-in annual fee of Rs. 1.0% p.a. of the credit amount will be charged

Complete Details of CGTMSE Guarantee Scheme – Download pdf

If you are interested, you can download or view the official details regarding this scheme. Below is the attachment. You can view it. However if you want to download and view it later, you can download using the link given –

Download PDF

Download Undertaking Form

  • Jatender pal singh says:

    I wants business loan

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