PM SVANidhi Yojana: Small shopkeepers and street vendors find it difficult to meet major expenses from their daily earnings. In response, the government launched the Pradhan Mantri Street Vendors AtmaNirbhar Nidhi (PM SVANidhi) scheme. The scheme provides banking access and easy loans. Now, linking the scheme with digital payments, the government has added UPI-linked credit cards. This means beneficiaries can not only take out loans without guarantee but also make their transactions digital and easy.
What is the loan limit?
Under the scheme, the loan limit for the first installment has been increased from Rs 10,000 to Rs 15,000, and for the second installment from Rs 20,000 to Rs 25,000. The third installment will remain at Rs 50,000. Beneficiaries are now being provided with all these benefits along with a UPI-enabled credit card.
The biggest advantage of this initiative is that small traders and street vendors, who previously relied on cash or debit cards, can now adopt digital payments. The government believes that this will not only facilitate businesses but also provide customers with the option to make UPI payments via credit cards.
Who is eligible for RuPay Credit Card?
Street vendors who repay their second loan on time will be eligible for a RuPay credit card linked to UPI (Unified Payments Interface) to meet emergency business and personal needs. Additionally, vendors who opt for digital payments for retail and wholesale transactions will receive an incentive of up to Rs 1,600. This facility encourages small merchants to move away from cash and towards digital transactions. The Ministry of Housing and Urban Affairs will administer the scheme, while the Department of Financial Services will facilitate access to loans and credit cards through banks and financial institutions.