Microcredit Finance Scheme- Self Help Groups (DAADC)
The Microcredit Finance Scheme for Self Help Groups (DAADC) provides micro-loans to SC Antyodaya SHGs in Gujarat to start small businesses. Each member can borrow up to ₹50,000, and the SHG can get up to ₹5 lakh total, with 95% funded by the government at 6% interest.
About This Scheme
The Microcredit Finance Scheme for Self Help Groups (DAADC) provides micro-loans to SC Antyodaya SHGs in Gujarat to start small businesses. Each member can borrow up to ₹50,000, and the SHG can get up to ₹5 lakh total, with 95% funded by the government at 6% interest.
Full official description
The "Microcredit Finance Scheme- Self Help Groups" is implemented by the Dr. Ambedkar Antyodaya Development Corporation (DAADC) under the Social Justice and Empowerment Department, Government of Gujarat. It aims to promote self-employment among Scheduled Caste (SC) individuals and Antyodaya Self-Help Groups by providing microloans for starting small-scale businesses. Under this scheme, unemployed individuals from SC communities receive financial assistance to become self-reliant through entrepreneurship.
Benefits
- Loan amount: Up to ₹50,000 per member (maximum ₹5,00,000 per SHG)
- Interest rate: 6% per annum
- Government covers 95% — your share is just ₹2,500 on a ₹50,000 loan
- No guarantor required
- EMI: ₹1,445/month over 3 years (36 instalments)
Who Can Apply (Eligibility)
Must be an SC community member and part of an Antyodaya Anna Yojana (AAY) Self Help Group. Annual family income must be below ₹3 lakh.
How to Apply
Step 1: Visit the official website of the Dr. Ambedkar Antyodaya Vikas Nigam (SC). Step 2: On the top menu bar, click on "Apply Now". Step 3: Click on the loan scheme name. Step 4: Select the loan category and fill in the loan amount. Step 5: Fill out the Application Form, enter the following details:
- Personal Information: Name, gender, date of birth, caste, etc.
- Address Information: Permanent and correspondence address
- Income Details: Monthly family income and source
- Loan Requirement: Amount needed, proposed use (e.g., business, self-employment)
- Bank Account Details: For loan disbursement
Step 6: Upload scanned copies of the Caste certificate, Income certificate, Aadhaar card, Passport-size photo, Bank passbook (first page), and Residence proof.
Step 7: Double-check all details. Click on “Preview” to verify. If all details are correct, click “Submit”.
Step 8: Applicant will receive an Application ID/Reference Number. Save or print the acknowledgement for future tracking.
Frequently Asked Questions
What is the maximum loan amount I can get?
Up to ₹50,000 for individuals; in some cases, up to ₹5,00,000.
Do I need a guarantor to apply?
No guarantor is required for this scheme.
What is the interest rate on the loan?
A fixed interest rate of 4% per annum.
What documents are required to apply?
Aadhaar card, caste certificate, bank details, income certificate, etc.
How do I apply for the scheme?
Do I need to pay any fees to apply?
No, the application is completely free.
Can I use the loan for personal purposes?
No, it must be used for setting up a business.
Can residents of other states apply?
No, only permanent residents of Gujarat are eligible.
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- Aadhaar Card
- Bank Details Copy of Hier
- Business Address Proof
- Identity proof of Applicant
- Passport Size Photos
- School Leaving
- Age Proof
- Birth Certificate
- Caste Certificate
- Income Certificate
- Ration Card