Summary of this article
PIB warns fake Mudra loan letters, advises against upfront payments.
Mudra is refinancing agency, not direct lender to individuals any.
Verify government loan schemes only through official channels before action.
A loan approval letter claiming to sanction a loan of Rs 7 lakh under the PM Mudra Yojana has gone viral on social media. The fake letter falsely asks applicants to pay Rs 860 as agreement charges to avail the loan, which gives it a deceptive sense of authenticity.
PIB Issues Clarification On Fake PM Mudra Loan Letter
The PIB Fact Check has marked the letter as fake and cautioned people against paying any upfront charges to avail loans under the PM Mudra Yojana. The PIB clarified that Mudra, as a refinancing agency, does not lend directly to micro-entrepreneurs or individuals.
What Is Mudra Loan
Micro Units Development & Refinance Agency (MUDRA) is a refinancing agency that provides funds to last-mile financiers, which include Non-Banking Financial Companies (NBFCs), microfinance institutions (MFIs), societies, trusts, Section 8 companies, small finance banks, and regional rural banks. These institutions then lend to micro and small businesses engaged in manufacturing, trading, services, and agri-allied activities.
Understanding legitimate loan offerings under the Pradhan Mantri MUDRA Yojana provides products catering to the growth and funding needs of micro and small entrepreneurs. The scheme includes Shishu for loans up to Rs 50,000, Kishor for loans above Rs 50,000 and up to Rs 5 lakh, Tarun for loans above Rs 5 lakh up to Rs 10 lakh, and Tarun Plus for loans above Rs 10 lakh up to Rs 20 lakh for entrepreneurs who have successfully repaid previous Tarun loans.
The fake loan letters claiming high-value approvals have been circulating online. Users can protect themselves by verifying scheme details on the official MUDRA website. These types of claims or messages related to government schemes and finance should be checked via official government channels before taking action. Also, caution is required when dealing with messages or letters promising high-value loans.
