The General Term Loan (GTL) Scheme is an initiative by the Ministry of Social Justice and Empowerment, Government of India, to promote entrepreneurship and economic empowerment among Safai Karamcharis, Waste Pickers, Manual Scavengers, and their dependents.
Implemented via State Channelizing Agencies (SCAs), Regional Rural Banks (RRBs), and Public Sector Banks (PSBs), this scheme offers loans of up to ₹15 lakhs for setting up any viable income-generating project, including sanitation-based businesses, at a concessional interest rate of 6%.
Key Benefits of the NSKFDC GTL Loan
Loan Amount
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Up to ₹15 lakhs, covering 90% of the project cost
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Balance 10% covered by:
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State Channelising Agencies (as loan/subsidy/promoter’s contribution)
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Or beneficiary’s contribution (only for loans > ₹2 lakhs)
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Promoter’s Contribution
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No contribution is required for projects costing up to ₹2 lakhs
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Only 5% promoter’s share is needed for projects exceeding ₹2 lakhs
Interest Rate
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6% per annum fixed
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Loans extended through SCAs, RRBs, and PSBs
Repayment & Moratorium
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4-month implementation period
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6-month moratorium
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Up to 10 years repayment period depending on project profitability
Eligibility Criteria
Applicants must belong to one of the following categories:
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Safai Karamcharis (including Waste Pickers), identified Manual Scavengers, or their dependents
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Registered Co-operative Societies of the target group
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Legally constituted associations/firms promoted by the target group
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Must produce an Occupation Certificate from a competent authority such as:
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Local/Municipal/Cantonment/Railway Officer
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Head of Govt. Departments (Forest, Health, Education, etc.)
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Elected Municipal Members, Gram Pradhan/Sarpanch
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Regional Managers of RRBs or PSBs
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Under the MS Act, 2013, individuals listed in the state survey as Manual Scavengers do not require an Occupation Certificate.
How to Apply (Offline & Online)
Here check both methods to apply for the General Term Loan Scheme 2025 under the Ministry of Social Justice for Safai Karamcharis and Waste Pickers and get up to ₹15 lakh at 6% interest.
Offline:
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Visit the nearest Channelizing Agency, RRB, or Public Sector Bank
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Collect and apply the necessary documents
Online:
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Visit the NSKFDC Channelizing Agencies List
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Contact the respective agency via the portal and follow their instructions
Application & Approval Process
The loan application process under NSKFDC schemes is structured, transparent, and carried out in coordination with multiple financial institutions and channel partners:
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Application Submission => Applicants must submit their loan applications at the district offices of the respective State Channelizing Agencies (SCAs), Regional Rural Banks (RRBs), or Nationalised Banks partnered with NSKFDC.
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Preliminary Scrutiny & Forwarding => The received applications are reviewed and then forwarded to the head offices of the respective SCA/RRB/Bank for detailed project appraisal.
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Proposal Evaluation & Recommendation => After the appraisal, the project proposal, along with the recommendation from the bank or agency, is sent to NSKFDC.
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Final Appraisal by NSKFDC => The Project Appraisal Committee at NSKFDC evaluates the proposal. If found satisfactory, it is forwarded to the Board of Directors for approval.
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Sanctioning of the Loan => Once approved by the Board, a letter of sanction is issued to the applicant by the concerned SCA, RRB, or Nationalised Bank.
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Document Verification & Disbursement => After the applicant accepts all terms and conditions and submits the required documentation, the funds are released.
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Fund Release by NSKFDC => NSKFDC disburses the funds upon receiving a demand request from SCAs/RRBs/Banks. This release is made following the parameters and norms outlined in the Lending Policies & Guidelines (LPG) of NSKFDC.
Essential Documents
Ensure you have the following indicative documents when applying:
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Aadhaar Card (not mandatory but preferred)
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Valid Occupation Certificate from a competent authority
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Supporting documents for project proposal, if applicable
Frequently Asked Questions (FAQs)
Q: What is the moratorium period for the loan?
A: The moratorium period is 6 months after the 4-month implementation period post-disbursement.
Q: Can any unorganized worker apply for this scheme?
A: No, only Safai Karamcharis, Waste Pickers, Manual Scavengers, and their dependents are eligible.
Q: How is the financial assistance provided under this scheme?
A: Loans are extended through State Channelising Agencies (SCAs), Regional Rural Banks (RRBs), and Public Sector Banks (PSBs).
Q: Is there any income limit to avail of this scheme?
A: There is no specific income limit, but the focus remains on economically and socially marginalized groups.
Q: What types of projects are eligible under GTL?
A: Any viable income-generating project, including sanitation-related businesses such as toilet cleaning services, equipment rentals, or solid waste management.
Q: I am a domestic worker. Can I apply for this scheme?
A: No, this scheme is exclusively for Safai Karamcharis, Waste Pickers, and Manual Scavengers.
