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Micro Loan

Micro loan is a sum of money offered to a borrower, when they require a small amount of money. In most cases this loan does not require a collateral and is often utilised for financing a business.

This loan has been created keeping in mind those who have low incomes, are self-employed or operate a micro enterprise. Since, the funding is limited.

How do micro loans work? 

While micro loans offer support to female entrepreneurs, start-ups and self-help groups and provide the funds with minimal paperwork, they have a downside, which is high rates of interest.

Despite having a higher rate of interest, lenders who avail these loans often pay them back successfully and within the specified time frame. Since, this loan is mostly availed by businesses or individuals who have a proper plan and their business does not have high risks.

Benefits of Micro Loan

In India, the weaker sections of society are not offered loans easily, so this is an option which allows them easy access to funds to operate a business or increase their income.

Since, these loans provide micro businesses loans in times of need, they try to pay them off sooner, once they are able to. This improves their performance as well as credit score making them eligible for better loans in the future.

Arthavidhi offers assistance with Micro Loans, so if you are looking to avail this loan sign up today, and benefit from their professionalism and financial expertise.

Micro Loan from banks

Axis Bank Car Loan Apply Now
Interest Rate
10.5% - 24%
Loan Amount
I 50K - I 40L
EMI Per Lakh
I 2,149 - I 2,877
Processing Fees
I 4,999 One time fee
Part payment Charges
Pre-Payment Charges
4% of the outstanding principal
(loan tenure between 13 - 24 months)
HDFC Bank Car Loan Apply Now
Interest Rate
10.5% - 24%
Loan Amount
I 50K - I 40L
EMI Per Lakh
I 2,149 - I 2,877
Processing Fees
I 4,999 One time fee
Part payment Charges
Pre-Payment Charges
4% of the outstanding principal
(loan tenure between 13 - 24 months)
ICICI Bank Car Loan Apply Now
Interest Rate
10.5% - 24%
Loan Amount
I 50K - I 40L
EMI Per Lakh
I 2,149 - I 2,877
Processing Fees
I 4,999 One time fee
Part payment Charges
Pre-Payment Charges
4% of the outstanding principal
(loan tenure between 13 - 24 months)
IDFC First Bank Limited Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges
Indusind Bank Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges
Kotak Mahindra Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges
Tata Capital Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges
Bajaj Finserv Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges
Aditya Birla Capital Car Loan
Interest Rate
Loan Amount
EMI Per Lakh
Processing Fees
Part payment Charges
Pre-Payment Charges

Criteria eligibility documents

Eligibility criteria affecting Micro Loans
  1. Age criteria: At most financial institutions, the minimum age limit is 18, whereas the maximum is around 60-65.
  2. Citizenship: Applicants must be resident Indian nationals.
  3. Household income: Applicants’ household annual income must be up to ₹3,00,000.
  4. Income generation: Applicants must be involved in an income generating business/activity.

Understanding Microloans: Small-Scale Financing for Everyone

Microloans are short-term loans designed for self-employed professionals, startups, micro-enterprises, small businesses, and individuals with modest capital needs. These loans offer smaller amounts of funding, making them accessible to those who may have limited access to traditional financial institutions.

In India, the Government and the RBI have collaborated to extend financial support to unbanked and underbanked individuals. This initiative involves partnerships with private limited companies and Micro Finance Companies (MFIs) to reach those in need. Additionally, NGOs play a significant role as micro-lenders, alongside MFIs and private companies.

Arthavidhi RECENT OFFERS

Personal Loan

  • No Collateral Required
  • Minimum Documentation
  • No Hidden Charges

Click Here For Quick Enquiry.

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Int Rates : 10.5% - 22%
Loan Amount: ₹ 1,00,000.00

Maximum Tenure - 7 Years
Lowest EMI : ₹ 1,686

Get quick processing & speedy disbursal

Business Loan

  • No Collateral Required
  • Minimum Documentation
  • No Hidden Charges

Click Here For Quick Enquiry.

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Interest Rate 13.99% - 24.99%
Loan Amount: ₹ 1,00,000.00

Maximum Tenure – 5 Years
Lowest EMI : ₹ 2,326

Get quick processing & speedy disbursal

Loan against Property

  • Minimum Documentation
  • Flexi Loan Tenure
  • No Hidden Charges

Click Here For Quick Enquiry.

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Interest Rate 9% - 13%
Loan Amount: ₹ 1,00,000.00

Maximum Tenure – 20 Years
Lowest EMI : ₹ 1,014

Get quick processing & speedy disbursal

Home Loan

  • Minimum Documentation
  • Flexi Loan Tenure
  • No Hidden Charges

Click Here For Quick Enquiry.

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Interest Rate 8.40% - 12%
Loan Amount : ₹ 1,00,000.00

Maximum Tenure – 35 Years
Lowest EMI – ₹ 739

Get quick processing & speedy disbursal

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