Credit Enhancement Guarantee Scheme for Scheduled Castes

What it is

Promote entrepreneurship and employment among Scheduled Caste entrepreneurs by providing a guarantee to banks and financial institutions, rather than a direct grant or direct loan from the scheme.

What you get

• Credit enhancement guarantee cover: INR 15 lakh to INR 5 crore, subject to scheme and lender conditions₹15,00,000 – ₹5,00,00,000

Who it is for

• SC entrepreneurs/promoters/members must have more than 51% shareholding or ownership with management control for the past 6 months as stated by the current implementing portal
• credit must be extended by a participating member lending institution
• covered facility may be working capital, term loan or composite term loan
• the lender and borrower must satisfy the current scheme, restricted-category and documentation conditions
• guarantee cover is subject to the scheme and lender approval; it is not an automatic loan sanction

How to apply

1. 1
   Confirm current CEGSSC route

   Check the current Ministry and IFCI pages, participating MLI route and controlling guideline before making an eligibility decision.

   Official step
2. 2
   Prepare SC ownership and business evidence

   Compile entity, shareholding/ownership, management-control, caste, financial, business-plan and facility information required by the MLI.

   Official step
3. 3
   Approach a participating lender

   Ask an MLI to appraise the working-capital, term-loan or composite facility and confirm that the current guarantee route can be used.

   Official step
4. 4
   Complete guarantee processing

   The MLI and IFCI complete the current guarantee request, fee, documentation and claim-condition process; the applicant remains responsible for the underlying facility.

   Official step

Keep ready