Uplifting and encouraging loan for women to take an active part in various fields has been a major aspect for the Indian government for the past 2 decades or so. However, in the last 5-6 years, the initiatives from the government seem to have hit the accelerator a bit harder. India has been suffering from various biased stereotypes against women for centuries. In many rural areas, women are considered suitable only for household works, and many people do not provide their girl child with an education, etc.
However, with time the situation is improving, now in many areas, women have emerged as significant contributors. In many rural areas, women have formed self-help groups to help each other. In this era of change, a crucial factor is the requirement of funds to start their own work and break away from the chains of society. To support them, there are various loans for women available through banks and government schemes.
Business Loan Schemes for Women
India is experiencing a significant surge in the number of new businesses starting up. This surge has got support from the government along with economic benefits, and it’s contributing to economic growth and overall development. Keeping this in mind the government has introduced various business loan schemes for women to encourage them and provide the needed financial support at the start so help them flourish in the future. Some popular schemes are:
1. Cent Kalyani: The Central Bank provides this loan scheme for women in rural areas, cottage industry, retailing, MSMEs and other entrepreneurial purposes. The maximum loan available under this scheme without collateral is Rs. 1 crore.
2. Shree Shakti Package: If in any business a woman is holding 51% stake or more, then she can avail this loan from SBI. The maximum limit for a collateral-free loan under this scheme is Rs. 5 lakhs. The rate of interest under this scheme is set lower than the base rate of the bank.
3. Orient Mahila Vikas Yojana: This scheme is again for those organizations in which women hold 51% stake or more. Oriental Bank of Commerce provides loans under this scheme with the concession on the rate of interest by 2%. The maximum collateral-free loan limit is Rs. 25 lakhs and the maximum tenure available is 7 years.
4. Synd Mahila Shakti: Women need to hold at least 50% stake in the organization, then they can avail the loan for any tenure up to 10 years.
Home Loan for Women
The government has been encouraging to avail of home loans as well so that people buy their own house. Since for many people in India, owning their house is one of the most cherished dreams and also a mark of being self-dependent. Thus, banks provide some concessions to women borrowers on home loans.
The maximum home loan is provided, up to 90% of the property’s value.
The major concession is on the rate of interest for a home loan. Various banks like SBI, HDFC provide 0.05% concession on the rate of interest to women borrowers. In case a single borrower is a woman, or one of the joint borrowers is a woman, the concessional rate will be applicable.
Personal loan for Women
Personal Loan requires no collateral. Thus they can come in pretty handy for various purposes. Some banks even have a separate personal loan product for women like HDFC has Diva loan in which women can avail up to Rs. 3 lakhs along with various offers on 100+ premium brands.
Gold loan for Women
Since gold loans do not require any income proof, homemakers can also avail this loan by giving their gold jewellery as collateral. The maximum tenure for the loan is 3-4 years which varies from lender to lender.
Women have faced stereotypes in India for over a century. Their struggle to uplift their stature in society to make a life of their own is hidden to no one. However, in the last few decades, women have merged as a significant force in various fields and have also created many inspiring stories in rural India. Where they fought numerous stereotypes and still made a life of their own. To help women, especially during the initial parts of their struggle, the government and banks have rolled various women for loan schemes. These schemes provide lower rates, favourable conditions and loans even without collateral.