The Narendra Modi government at the Center has started many such schemes during its tenure, under which people get loans for business. In this episode, a special initiative has been taken for Micro, Small, and Medium Enterprises (MSMEs). While presenting the budget in February, Finance Minister Nirmala Sitharaman announced that micro enterprises registered on the Udyam portal will be given credit cards with a limit of up to ₹ 5 lakh. The government aims to issue 10 lakh such cards in the first year, which will further strengthen India’s MSME sector.
Features of SME Credit Card
These credit cards provide instant money to small businesses for everyday tasks. It can be used in many ways. You can easily buy raw materials or new goods through it. This card helps in tracking business expenses, making it easier to keep accounts. Many SME credit cards also offer reward points, cashback, and other facilities. This is a very useful step because, due to this, small businessmen will not have to face the shortage of capital, and hence they will be able to grow their business easily.
You will get many facilities
A SME credit card is not just a means of payment, but it also supports your business in many ways. Some cards offer an interest-free period of up to 45-50 days, which helps you to meet the shortage of short-term working capital. You can also get the facility of EMI at competitive interest rates. By using these cards responsibly, you can strengthen the credit history of your business, which will make it easier to take bigger loans in the future.
These banks are offering SME credit cards
Many big banks in India are offering SME credit cards. These include SBI, HDFC, Axis Bank, Kotak, Standard Chartered, and IndusInd Bank. You can contact these banks according to your needs and choose the right card for your business. This scheme will not only provide financial support to your business but will also give it a chance to grow.