The Ministry of Micro, Small & Medium Enterprises (MSME) has introduced the Bank Loan Processing Fee Reimbursement Scheme under the National Scheduled Caste and Scheduled Tribe Hub (NSSH) initiative. This scheme aims to support SC/ST-owned MSMEs by reimbursing a significant portion of the loan processing fees charged by banks and financial institutions.
By reducing upfront financial burdens, the scheme encourages entrepreneurship among SC/ST communities, fostering inclusive economic growth and business sustainability.
Key Benefits of the Scheme
✅ Reimbursement of up to 80% of the processing fee (maximum ₹1,00,000, excluding GST).
✅ Applicable for both fund-based and non-fund-based business loans.
✅ Encourages financial inclusion by making loans more accessible.
✅ Supports business expansion and working capital needs.
Eligibility Criteria
To qualify for the scheme, applicants must meet the following conditions:
✔ Belong to the Scheduled Caste (SC) or Scheduled Tribe (ST) category.
✔ Own or represent a registered MSME (Micro, Small & Medium Enterprise).
✔ Availed a business loan from:
- Scheduled Commercial Banks
- Non-Banking Financial Companies (NBFCs)
- State Finance Corporations
✔ SC/ST ownership must exceed 51% in the case of partnership firms, LLPs, or private limited companies.
How to Apply for the Scheme?
- Visit the Official Portal: Go to https://www.scsthub.in.
- Register/Sign Up:
- Provide full name, email ID, mobile number, and password.
- Log In: Use credentials to access the application form.
- Fill in Required Details: Complete all necessary information.
- Upload Documents: Submit the required documents (listed below).
- Submit Application: Review and finalize submission.
Necessary Documents for Application
- Self-certified copy of Udyam Registration & GST (if applicable).
- PAN Card copy (for proprietorship/partnership/company).
- Caste Certificate of the proprietor/partners/directors.
- Shareholding details (for partnership/LLP/private limited companies).
- Loan sanction letter (bank-attested).
- Proof of processing fee payment (bank statement/receipt).
- Cancelled cheque of the enterprise’s current account.
- Business loan disbursement certificate.
FAQs – Bank Loan Processing Fee Reimbursement Scheme
1. What is the Bank Loan Processing Fee Reimbursement Scheme?
This scheme reimburses up to 80% of loan processing fees (max ₹1 lakh) for SC/ST-owned MSMEs.
2. Who is eligible for this scheme?
SC/ST entrepreneurs own at least 51% of an MSME and availing business loans from eligible financial institutions.
3. What types of loans are covered?
Both fund-based (term loans, working capital) and non-fund-based (bank guarantees, letters of credit) loans qualify.
4. Can I combine this scheme with other government benefits?
Yes, unless explicitly restricted under other scheme guidelines.
5. Is there a reimbursement limit?
Yes, ₹1,00,000 per financial year (or 80% of the fee, whichever is lower).
Conclusion
The Bank Loan Processing Fee Reimbursement Scheme is a valuable financial aid initiative for SC/ST entrepreneurs, reducing loan-related costs and promoting business growth.
🔗 Apply now at: https://www.scsthub.in/
For further details, refer to the official NSSH guidelines.
References & Useful Links
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