Bank Loan Processing Reimbursement Scheme
National SC-ST Hub · Central government
Reimburses 80% of bank loan processing fees, up to ₹1,00,000, for MSEs owned by SC/ST entrepreneurs.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Subsidy amount
- Up to ₹1,00,000
- Instrument
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
About this scheme
The scheme reimburses bank loan processing costs for Micro and Small Enterprises (MSEs) owned by individuals from Scheduled Castes (SC) and Scheduled Tribes (ST). Reimbursement is limited to 80% of the processing charges, or ₹1,00,000 (excluding GST and taxes), whichever is lower. This reduces the financial load on SC/ST entrepreneurs when they take out business loans.
**Required Documents:** - Self-certified copy of Udyam Registration (UR) and GST certificate (if applicable). - Self-certified copy of PAN Card. - Copy of Caste Certificate for the proprietor, all partners, or directors. - Shareholding details (for Partnership, Pvt Ltd, or LLP) showing SC/ST entrepreneur holding more than 51%. - Bank-attested debit statement or valid receipt for the loan processing fee. - Proof of business loan disbursement. - Bank-attested copy of the loan sanction letter. - Cancelled cheque of the enterprise's current account.
Who can apply
- Eligible business forms
- Private limited company, Limited liability partnership, Partnership firm, Sole proprietorship
- Udyam registration
- Not specified
- MSME registration
- Required
- DPIIT startup recognition
- Not required
- GST registration
- Not specified
- Where the business may be based
- Not restricted
- Open to Micro and Small Enterprises (MSEs) with Udyam Registration. - Majority shareholding (>51%) must be held by Scheduled Caste (SC) or Scheduled Tribe (ST) entrepreneurs. - Applicants must have availed a business loan and paid the corresponding processing fees.
How to apply
- Collect the necessary paperwork: Udyam Registration certificate, PAN card, caste certificate, evidence of shareholding where SC/ST ownership exceeds 51%, a bank-attested debit statement or receipt for loan processing charges, proof that the loan was disbursed, the loan sanction letter, and a cancelled cheque from the enterprise's current account. - Go to the National SC-ST Hub scheme portal, located at scsthub.in/nssh-schemes. - File the application, attaching all documents that are self-certified and bank-attested, as required. - The National SC-ST Hub office then assesses the application to confirm eligibility and verify that the documentation is complete. - Once approved, the reimbursement is paid straight into the enterprise's current account.
Frequently asked questions
Who is eligible for this scheme?
MSEs registered under Udyam, in which SC or ST entrepreneurs hold more than 51% shareholding, are eligible, provided they have taken a business loan and paid the associated processing fees.
How much reimbursement can I receive?
You can claim 80% of the actual bank loan processing fees you paid, or ₹1,00,000 (excluding GST and taxes), whichever is lower.
Do I need Udyam Registration to apply?
Yes. A self-certified copy of Udyam Registration is mandatory, and GST registration is required if applicable.
What documents do I need to submit?
You need the Udyam Registration copy, PAN card, caste certificate of the proprietor/partners/directors, and shareholding details showing more than 51% SC/ST ownership. Also required are a bank-attested debit statement or receipt for the loan processing fee, proof of loan disbursement, the loan sanction letter, and a cancelled cheque of the enterprise's current account.
Is this scheme available on an ongoing basis?
Yes, this is a rolling scheme administered by the National SC-ST Hub, and applications may be submitted whenever eligible enterprises incur loan processing charges.
Is this a loan or a grant?
This is a reimbursement subsidy, not a loan, so you are not required to repay the amount and no equity is taken. It simply refunds a portion of the processing fees you already paid to obtain a business loan.
Sectors
- Scst Founders
- Reimbursement
- Loan Processing Fee
- Msme
Details last verified on 3 August 2026. Source: the issuer's published information.