Public Sector Bank (PSU)Artisan & Weaver CreditArtisans & Craftsmen🛡️CGTMSE CoveredVerified: 2026-09-29

UCO Bank Handloom & Weaver Mudra Scheme

Primary Lending Institution:UCO Bank

Up to ₹2 Lakh MSME credit at 8.50% – 9.50% with Up to 3 years tenure.

Interest Rate8.50% – 9.50%Linked to EBLR / MCLR / Risk

Loan Amount QuantumUp to ₹2 LakhBased on turnover & project cost

Repayment TenureUp to 3 yearsWith moratorium where applicable

Collateral SecurityRestricted to handloom weavers with weaver identity cards issued by Development Commissioner (Handlooms).

What's Missing: Crucial Fine-Print & Exclusion Gaps

Restricted to handloom weavers with weaver identity cards issued by Development Commissioner (Handlooms).

Note: Eligo publishes these regulatory and commercial exclusions directly from bank product guidelines and CGTMSE rules to protect MSME applicants from unexpected fee debits or loan rejection surprises.

What is UCO Bank Handloom & Weaver Mudra Scheme?

Tailored credit facility for handloom weavers and textile artisans providing working capital for yarn and dyes.

Key Benefits & Features

Zero processing fee; collateral-free; margin money subsidy support from Ministry of Textiles.

Government Subsidy & Credit Guarantee Coverage

CGTMSE / Bank Guarantee / Normal Security

Enterprise Eligibility Criteria

Traditional handloom weavers and artisans.

Business VintageNew & Existing units eligible

Min. Annual TurnoverTurnover proportionate

Processing FeeNil

Prepayment TermsZero prepayment penalty on floating rate loans as per regulatory norms

How to Apply (3 Verified Paths)

💼Path 1: Current Account Portal

Apply online via business net banking or approach loan account manager.

🌐Path 2: Official FinTech / Govt Portal

Apply online at https://www.ucobank.com/english/uco-weaver-mudra.aspx with digital KYC and financial statements.

🏢Path 3: SME Banking Center Walk-In

Visit nearest MSME branch of the institution with business registration and bank statements.

Eligo does not collect business loan applications or financial data. Apply directly on the verified official domain:

Visit Official Portal↗

Documents Required Checklist

Udyam Registration Certificate, PAN, Aadhaar, Last 2 years ITR and financial statements, 12 months GST returns, 6 months bank statement.

Frequently Asked Questions

What is the maximum loan tenure and amount for UCO Bank Handloom & Weaver Mudra Scheme?

Borrowers can avail Up to ₹2 Lakh with a repayment tenure of Up to 3 years.

What are the processing charges and collateral terms for UCO Bank Handloom & Weaver Mudra Scheme?

The processing fee is Nil. Collateral terms: Restricted to handloom weavers with weaver identity cards issued by Development Commissioner (Handlooms).

What are the eligibility criteria for UCO Bank Handloom & Weaver Mudra Scheme?

Traditional handloom weavers and artisans. Minimum business vintage required is 0 year(s).

How can an applicant apply for UCO Bank Handloom & Weaver Mudra Scheme?

Apply online at https://www.ucobank.com/english/uco-weaver-mudra.aspx or visit nearest branch with KYC, Udyam registration, and bank statements.