Aadhaar Card Loan: If you are planning to start a small business but lack the necessary capital, there is no need to worry. The government can help. We are referring to the government scheme launched during the COVID-19 pandemic for street vendors whose businesses had suffered. This initiative is known as the PM SVANidhi Scheme. It allows you to secure a government loan of ₹90,000 to start your business. An Aadhaar card is the only document required to avail of this loan; if you have one, obtaining the loan is easy.

Know the duration of the scheme’s benefits.

While life has stabilised for everyone, the government has extended the PM SVANidhi Scheme until 2030 to support small business owners. The scheme provides financial assistance to those starting a business. Previously, the loan amount under this scheme was ₹80,000, but the government increased it to ₹90,000 last year. Additionally, street vendors receive a UPI-linked RuPay credit card and cashback on digital payments for both retail and wholesale transactions.

Loan available without collateral

This government scheme is designed to be accessible: it provides a loan of ₹90,000 without requiring any collateral (guarantee). This feature plays a crucial role in the scheme’s popularity. Under the PM SVANidhi Scheme, the loan amount is disbursed in three stages. The amount provided—ranging from smaller to larger sums—depends on the beneficiary’s creditworthiness. This means that after repaying the first instalment, one can access a larger loan amount for the second instalment, followed by an even higher amount for the third.

Learn how to get a loan of ₹90,000
Under the SVANidhi scheme, once an application is approved, the applicant receives the first instalment of ₹15,000 from the government. They can then receive ₹25,000 as the second instalment and ₹50,000 as the third instalment. To unlock the second instalment, repay the initial loan of up to ₹15,000 within the stipulated timeframe; similarly, repaying the second loan on time makes the applicant eligible for the third instalment.

Loan approval with just an Aadhaar card

The government does not require extensive paperwork for applicants seeking a loan of ₹90,000 under this scheme; you only need to carry your Aadhaar card. This means you don’t need collateral or security to obtain the loan. You can also repay the loan amount through EMIs.

To avail the benefits of the PM SVANidhi scheme, one can apply at any bank. You simply need to obtain the application form, fill in the required details, attach a copy of your Aadhaar card, and submit it. The bank then verifies the information provided before approving the loan.

Millions have benefited

Millions of citizens across the country have benefited from the PM SVANidhi scheme. The government’s primary objective is to support street vendors. To date, more than 4.8 million (48 lakh) people have availed themselves of this scheme’s benefits.