Back to Schemes
Business & Entrepreneurship

Direct Loan Scheme Karnataka

The "Direct Loan Scheme" offers financial assistance to unemployed scheduled caste individuals from the leather artisan community to start small businesses.

Authority

State/ UT

Region

Karnataka

Status

Verified 2026

Updated

March 2026

What you get

- Financial assistance with a 50% subsidy and 50% loan. | - Total unit cost is ₹1,00,000/-. | - Loan repayment in 24 equal installments with a 4% interest rate.

Who can apply

The applicant should be leather artisans.; The applicant should belongs to sub-castes Arundathiyar, Chammadiya, Chamar, Chambar, Chamagar, Madar, Madig, Madiga, Mini Madig, Jambavalu, Haralayya, Machigar, Mochigar, Mochi, muchi, Telugu Mochi, kamaati mocha, Rohidas, Dhor, kakkayya, Kankayya, Samagara, Samagar, Aadhi Anddra, Aadhi Dravida, Aadhi Karnataka among scheduled castes.; The age of the applicant should be 18 years.; The applicant's annual family income should not exceed ₹30,000/- in rural areas and ₹25,000/- in urban areas.; The applicant or their family members must not have received benefits from other schemes, except training programs.; The applicant's family members should not be employed in government or semi-government organizations.

Required Paperwork

  • Aadhaar Card
  • PAN Card
  • Income Certificate
  • Residence Proof (Domicile)

Common Questions

What is the Direct Loan Scheme?

It is a scheme offering financial assistance to leather artisans with [?]50,000 as a loan and [?]50,000 as a subsidy for starting small businesses.

Who is eligible for the scheme?

Leather artisans from specific SC sub-castes, including Arundathiyar, Chamar, Mochi, etc., are eligible.

What is the age limit for applicants?

The minimum age requirement is 18 years.

Are female artisans given any reservation?

Yes, 33% of the scheme's benefits are reserved for female artisans.

Can physically challenged artisans apply?

Yes, 5% of the scheme's benefits are reserved for physically challenged candidates.

How do I apply for the scheme?

Applications can be submitted online via Suvidha or Seva Sindhu portals.

Can I apply if my family member works in the government?

No, applicants must not have any family member employed in government or semi-government organizations.

What documents are required for the application?

Documents like Aadhaar Card, Caste Certificate, Income Certificate, and Ration Card are needed.

What is the process after application submission?

The District Co-Ordinator verifies applications, and a District Level Selection Committee finalizes the list of beneficiaries.

Where is the final list of selected beneficiaries published?

The final approved list is published on the notice boards of the respective units after administrative approval.