Q.(1) What is NSFDC?
A. NSFDC stands for National Scheduled Castes Finance and Development Corporation. It was set up by the Government of India under Ministry of Social Justice & Empowerment (MOSJ&E) on 8th February, 1989 under Section 25 of the Companies Act, 1956 as a company 'not for profit'. Now, it is Section 8 Company (not-for-profit) under campanies Act, 2013.
Q.(2) What is the Contact Address of NSFDC?
A. NSFDC has its Head Office at Delhi and its full address and contact number is :- National Scheduled Castes Finance and Development Corporation 14th Floor, SCOPE Minar, Core 1 & 2, Laxmi Nagar, Delhi ? 110 092 Tele: 011-22054392, 22054394, 22054396. Fax: 011-22054395 E-mail : support-nsfdc[@]nic[dot]in Website : www.nsfdc.nic.in It has three Liasion Centers at Mumbai, Kolkata, and Bengaluru.
Q.(3) Why was it established?
A. It was established to finance for the socio economic development of persons belonging to the scheduled castes families having annual family income up to Rs. 3.00 lakh including their skill upgradation.
Q.(4) What is it's Vission?
A. To be the leading catalyst in systematic reduction of poverty through socio-economic development of eligible Scheduled Castes living below double the poverty line, working in on efficient, responsive and collaborative manner with channelizing agencies and other development partners.
Q.(5) What is it's Mission?
A. Promote prosperity among Scheduled Castes by improving flow of financial assistance and through skill development & other innovative initiatives.
Q.(6) What is the main objective of NSFDC?
A.NSFDC's main objective is to finance, facilitate and mobilize funds for the economic empowerment of persons belonging to the Scheduled Caste families having annual family income up to Rs. 3.00 lakh.
Q.(7) Does NSFDC provide loans to all Scheduled Castes persons?
A. No NSFDC provides loans only to economically poor sections of Scheduled Castes whose annual family income is up to Rs. 3.00 lakh both in rural & urban areas..
Q.(8) Is eligibility for loan based on caste and economic criteria alone?
A. Yes, But, apart from caste and economic criteria, applicant perferably should have practical experience or skill and entrepreneurial ability in concerned field so that they can manage their business successfully.
Q.(9) Is priority given to women in loan schemes?
A. Yes Out of funds notionally allocated on the basis of SC population, 40% of the total funds have been allocated for women both in physical and financial terms. Interest rebate ranging from 0.5% - 1% is offered to women beneficiaries in certain schemes.
Q.(10) Is there any separate loan scheme for women?
A. Yes.There are three exclusive schemes for women beneficiaries i.e. Mahila Samriddhi Yojana and Mahila KisanYojana.
Q.(11) How does NSFDC provide loan?
A. NSFDC provides loan for income generating scheme to target group through its Channalising Agencies namely State Scheduled Castes Development Corporations (SCDCs), Public Sector Banks (PSBs), Regional Rural Banks (RRBs) and other Institutions (As per list given at the end of FAQ).
Different loan schmes of NSFDC
Q.(12) For which activities does NSFDC provide loans?
A. NSFDC provides loan for income generating activities in Agriculture and other allied, industrial , service sector, transfort sector and for professional/Technical education.
Q.(13) What are the different types of loan schemes of NSFDC?
A. NSFDC has following Loan Schemes: (i) Term Loan, (ii) Micro Credit Finance, (iii) Mahila SamriddhiYojana, (iv) Mahila KisanYojana (v) Shilpi SamriddhiYojana (vi) Laghu Vyavasaya Yojana (vii) Educational Loan Scheme (viii) VETLS (ix) GBS (x) AMY (xi) Udyam Nidhi Yojana (xii) Standup India Scheme (xiii) Swachhta Udayami Yojana.
Q.(14) What are the activities for which Term loan is provided?
A. Some indicative schemes for which Term loan is provided:-
|Agricultural Land Purchase||Flour Mill||Silver Ornaments making|
|Fisheries||Furniture Making||Beauty parlour|
|Goatery||Handlooms/Power looms||Cyber Cafe|
|Honey Bee||Leather goods manufacturing||Departmental Store|
|Cultivation||Leather Processing unit||DTP and Computer Centre|
|Horticulture/Floriculture||Readymade Garments||Fertilizer Shop|
|Mulberry farming/Silk Weaving/cocoon production etc||Rexine articles making||Hardware Shop|
|Poultry||Silk reeling Unit||Medical Shop|
|Power Tiller||Tailoring Shop||Photography/Videography|
|Sheep Farming||Tractor/Tent House||Steel Fabrication|
Q.(15) What are the activities for which Micro Credit Finance is provided?
A. Some indicative schemes for which Micro Credit Finance are provided:-
|Betel leaf shop||Bakery||Candle Making|
|Cycle repair||Goatery||Beauty parlour|
|Vegetable Vending||Incense Stick making||Fish Vending etc|
|Milch animal||Papad manufacturing||Pickle Manufacturing|
Q.(16) What are the activities for which Mahila Samriddhi Yojana loan is provided?
A. Some indicative schemes for which Mahila Samriddhi Yojana are provided:-
|Cloth Shop||Mini Dairy||Tea Shop|
|Bangles Shop||Beauty Parlour||Papad making|
|Basket making||Batik Printing||Broom making|
Q.(17) What are the activities for which Mahila Kisan Yojana loan is provided?
A. Mahila KisanYojana loans are provided exclusively to rural women beneficiaries for undertaking schemes in Agriculture and/or Mixed Farming activities such as Vegetable growing, Floriculture, Dairy, Poultry, any other farming activities etc.
Q.(18) What are the eligibility criteria of Mahila Kisan Yojana?
A. In Mahila Kisan Yojana, land should be in the name of women beneficiary or joint name with her husband. If the agriculture land is only in the name of husband then he should not be the beneficiary of NSFDC, and he should not have any objection to his spouse taking up any economic activity on that land.
Q.(19) What are the eligibility critiera of Shilpi Samriddhi Yojana?
A. Under Shilpi Samriddhi Yojana , NSFDC provide Financial Assistance to eligible beneficiaries who are artisans and possess Artisans identity Card issued by Development Commissioner (Handicrafts), Ministry of Taxtile , Government of India or State Government and has requirement of funds.
Q.(20) What is Laghu Vyavasaya Yojana?
A. The objective of Laghu Vyavasaya Yojana is to cater to the needs of more & more beneficiaries taking up small business activities with a higher investment.
Q.(21) If anyone has agricultural land but does not have irrigation facilities then can he/she get loan for irrigation?
A. Yes. Loans can be availed for irrigation implements such as Bore well, Sprinkler, drip etc for irrigation on purpose on unirrigated farmland.
Q.(22) How much amount of loan can be availed in these Schemes and what is interest rate?
A. In the following tables cost of project, amount of loan and interest rate in these schemes are shown below:-
|S. No.||Project||Project/Unit Cost Limit of||Loan (% of Project/Educational Cost)||Interest rate @ p.A.
|From SCA/CA||From Beneficiary|
|1.||Term Loan Scheme|
|A||Projects costing up to Rs 5.00 lakh||90%||3%||6%|
|B||Projects costing above Rs 5.00 lakh and up to Rs10.00 lakh||90%||5%||8%|
|C||Projects costing above Rs 10.00 lakh and upto Rs20.00 lakh||90%||6%||9%|
|D||Projects costing above Rs 20.00 lakh and upto Rs 50.00 lakh||90%||7%||10%|
|2.||Micro-credit Finance||Upto Rs. 75,000/-||90%||2%||5%|
|3.||Mahila Samriddhi Yojana||Upto Rs. 75,000/-||90%||1%||4%|
|4.||Mahila Kisan Yojana||Upto Rs. 2,00,000/-||90%||2%||5%|
|5.||Shilpi Samriddhi Yojana||Upto Rs.2,00,000/-||90%||2%||5%|
|6.||Laghu Vyavasaya Yojana||Upto Rs 5.00 lakh||90%||3%||6%|
|7.||Educational Loan Scheme||upto Rs 10.00 lakh (for studies within India)||90%||Male||1.5%||4.0%|
|upto Rs 20.00 lakh (for studies abroad)||90%||Male||1.5%||4.0%|
|8.||Vocational Educational Training Loan Scheme||Courses duration up to 2 years.||100%||Male||1.5%||4%|
|9.||Green Business Scheme||Upto Rs. 30.00 lakh||90%||Upto Rs. 7.50 lakh||2%||4%|
|above||Rs.7.50 lakh and Upto 15.00 lakh||3%||6%|
|above||Rs. 15.00 lakh and Upto 30.00 lakh||4%||7%|
|10||Aajeevika Micro-Finance Yojana||Upto Rs. 75,000||90%||Male||3%||11%|
|11||Udyam Nidhi Yojana||Upto Rs, 5.00 lakh||90%||4%||12%|
|12||Swachhata Udayami Yojana||Upto Rs. 15.00 lakh||90%||Male||2%||4%|
|13||Mahila Kisan Yojana||Upto Rs. 2.00 lakh||90%||2%||5%|
Q.(23) Do applicants have to invest their own capital also?
A. In order to ensure applicant's stake in the project, the applicant is expected to invest his/her share in the Term Loan Scheme. Norms for promoter's contribution in Term Loan are as under:-
|S.No.||Project/Unit Cost||Minimum Promoter?s (Applicant's)
Contribution as % of Project/Unit Cost
|(i)||Projects costing upto Rs 1.00 lakh||Not to be insisted upon.|
|(ii)||Projects costing above Rs 1.00 lakh
and upto Rs 2.50 lakh
|(iii)||Projects costing above Rs 2.50 lakh
and upto Rs 5.00 lakh
|(iv)||Projects costing above Rs 5.00 lakh
and upto Rs 10.00 lakh
|(v)||Project costing above Rs 10.00 lakh
and upto Rs 20.00 lakh
|(vi)||Project costing above Rs 20.00 lakh
and upto Rs 50.00 lakh
Q.(24) Does repayment of installments start just after disbursement of loan?
A. No. The principal repayment does not start immediately after disbursement. This facility is extended to beneficiaries to give them time to stabilize themselves in the business. Generally, principal repayment starts after a moratorium period of 3 to 12 month based on type/nature of business. However, repayment of interest starts soon after disbursement and there is no moratorium on repayment of interest.
Q.(25) What is repayment period?
A. Scheme-wise repayment period is as follows:-
|S.No.||Scheme of Loan||Repayment period (Maximum)||Installment|
|1||Term Loan Scheme||Upto 10 years||quarterly/half yearly/
|Upto 3 ½ years||quarterly installments|
|Upto 3 ½ years||quarterly installments|
|Upto 10 years||quarterly installments|
|Upto 5 years||quarterly installments|
|Upto 6 years||quarterly installments|
Upto 10 years
Upto 7 years
|9||GBS||Upto 10 years||quarterly installments|
|10||AMY||Upto 3 ½ years||quarterly installments|
|11||UNY||Upto 6 Years||quarterly installments|
|12||SUY||Upto 10 Years||quarterly installments|
|13||MKY||Upto 10 Years||quarterly installments|
Q.(26) Can multiple loans be taken from NSFDC?
A. Yes, Upon repayment of entire loan within the stipulated period, are eligible for availing loan under any scheme of corporation subject to the following conditions:
(a) Full repayment of earner loan in time and
(b) Submission of Filed Report an actual asset creation and successful running of the business.
Q.(27) What is the procedure to apply for NSFDC loan?
A. The applicants should contact the Channelizing Agencies if they wish to avail NSFDCs loans. The applicants are required to submit application in NSFDC's format with details of business and copies of caste, income and experience etc. at the channelising agency office.
Q.(28) Does NSFDC provide loan for Passenger/Goods Vehicles also?
A. Yes. Under service sector ,NSFDC provides loan for different types of vehicles such as Autorikshaw, Jeep, Car, Taxi, Tractor, Pick-up Van, small commercial vehicle, Mini buses etc. These loans are given only for applicant's self driving. Commercial driving license, permit must be in the name of applicants for these loans. One person is given loan for one vehicle only. Beneficiary can select model of vehicle as per their choice.
Q.(29) Can a beneficiary choose the schemes of his/her preference?
A. Yes. Beneficiary can select scheme according to his/her choice. They have to keep in mind their skill, efficiency, local needs, infrastructure while selecting the business activity.
Q.(30) For which Educational courses, the Educational Loan is provided by NSFDC?
A. The Educational Loan is provided for the courses run by the recognized Educational Institutions. Presently, it is provided for pursuing following full time professional/technical courses:-
1. Full time Professional/Technical courses in the fields of Engineering, Medical, Dental, Management, Information Technology, Hotel Management, Architecture, Physiotherapy, Bio-Technology, Law, Education, Journalism etc.
2. Professional courses like CA/ICWA/CS/AMIE/FIA/IETE.
3. Higher education like Doctoral Studies leading to M.Phil/PhD from recognized institutions.
Q.(31) What does NSFDC do apart from giving loan?
A. Apart from giving loan, NSFDC sponsor Skill Development Training Programmes in emerging areas through reputed Training Institutions to educated unemployed youths of the target group. NSFDC provides 100% grant to Training Instituties for these programmes.
Q.(32) Is any stipend given to trainees in these training programme?
A. Yes. During the training Programmes, stipend @ Rs 1,500/- per month is paid to each trainee to enable them to meet their incidental expenses.
Q.(33) In which area Skill training is provided?
A. Some indicative Schemes for Skill training are as following :-
Q.(34) What type of facilities is provided to beneficiaries after skill training?
A. Placement assistance is provided to the beneficiaries after skill training by the respective Training Institution. Also trainees who would like to setup their own ventures are provided free entrepreneurial guidance and the procedure to apply for the loan schemes of NSFDC.
Q.(35) What is the procedure to get skill training sponsored through NSFDC?
A. Information as Skill Development Training Programmes is published in local newspaper from time to time. The Skill Development Training Institute offering NSFDC sponsored skill training programmes have a well defined selection procedure.
Q.(36) Does NSFDC have any scheme for providing loan to pursue Vocational courses upto 2 years duration?
A. Yes. NSFDC has a Vocational Education and Training Loan Scheme (VETLS) launched w.e.f. 8.2.2014 to provide loan to eligiable SC persons for pursuing vocational education and training courses upto 2 years duration.
Q.(37) What is the critical eligibility under the scheme?
A.The eligibility under the scheme,are as under;
(i) The person should be from a Scheduled Caste community;
(ii) The annual family income of the person should be below Rs. 3.00 lakh both in rural & urban areas.
(iii) The person should have secured admission in a course run or supported by a Ministry/Deptt./Organization of the Government or a Company/Society/Organization supported by National Skill Development Corporation or State Skill Missions/State Skill Corporations, preferably leading to a Certificate/Diploma/Degree etc. issued by a Government Organization or an Organization recognized/authorized by the Government to do so.
Q.(38) What is the course eligibility?
A. The course eligibility is for Vocational Education & Training courses of duration upto two years, run or supported by a Ministry/Department/Organization of the Government or a Company/Society/Organization supported by National Skill Development Corporation or State Skills Mission/State Skill Corporations preferably leading to a Certificate/Diploma/Degree etc. issued by a Government Organization or an Organization recognized/authorized to do so.
Q.(39) What is age criterion?
A. In this scheme, there is no specific restriction with regard to the age of the trainee to be eligible for the loan. However, if the trainee is minor, while the parent executes documents for the loan, the channelizing agency shall obtain a letter of ratification from him/her upon attaining majority. The upper age limit could be decided by the channelizing agency and if a person is unemployed and upto 50 years of age, and desirous of undergoing the Vocational Education & Training, he/she could be considered on case to case basis.
Q.(40) What are the expenses considered in the VETLS?
A. The following expenses are considered under the scheme ;
- Admission/Tuition fee.
- Examination, Library, Laboratory Fee,
- Caution Deposit.
- Purchase of Books, Equipments, Instruments.
- Boarding & Lodging
- Insurance for loan amount.
- Any other reasonable expenses found necessary for completion of the course certified by Vocational Education & Training Institute.
Q.(41) What is the quantum of finance available?
A. The quantum of finance is as under; Need based finance to meet 100% expenses on components subject to the following ceilings;
- For courses of duration upto two years : Upto Rs.4,00,000/-.
Note : In case of cost over-run, it shall be borne by beneficiary.
Q(42) What is the rate of interest on the loan?
A. NSFDC shall charge interest @ 1.5% per annum from the Channelising Agency which, in turn, shall charge 4% per annum from the beneficiaries. In case of women, an interest rebate of 0.5% shall be provided.
Q.(43) Is there any moratorium period for the repayment of loan?
A. Yes. The moratorium period is six months from completion of courses or getting employment, whichever is earlier.
Q.(44) What is repayment period of the loan?
A. The loan shall be repaid in quarterly instalments including the applicable moratorium period of six months within 7 years.
Q.(45) Is these any pre-payment charges for loan ?
A. No. The borrower can repay the loan any time after commencement of repayment of loan. No pre-closure charges shall be insisted fom borrower in case of early repayment of loan.
Q.(46) Will the loan be provided if the courses have started prior to 8.2.2014?
A. No. The courses should have started after the date of introduction of the scheme i.e. w.e.f. 8.2.2014.
Q.(47) What is the objective of Green Business Scheme?
A. To provide financial assistance in the form of loan for the activities which could tackle the climate change alogwith income generation
Q.(48) What are the activities for which loan under Green Business Scheme is provided?
A. Some of the indicative schemes for which loan under Green Business Scheme is provided are ;
- Solar Energy gadgets
- Compressed Air vehile
Q. (49) What is the objective of Ajeevika Microfinance Yojna?
A. To provide prompt and new based Micro-Finance to eligible target group through Non-Banking Finacial Institution -Micro Finance Institution (NBFC-MFI) to pursue small/micro business activites.
Q.(50) In case there is a grievance/complaint, regarding NSFDC's loan, who do we contact?
A. In case of any grievance/complaint regarding NSFDC loans, the following officers may be contacted:-
(i) The Grievance Redressal Officer, NSFDC, Delhi. The grievance may be sent online through Centralized Public Grievances, Redressal and Monitoring System (CPGRAMS) [website : www.pgportal.gov.in ]
(ii) The Chief Vigilance Officer(CVO), NSFDC, Delhi.
(iii) The Chairman cum Managing Director, NSFDC, Delhi.