The first week of November 2018 had some fantastic news for Micro, Small and Medium Enterprises (MSMEs). The Prime Minister, Shri. Narendra Modi launched www.psbloansin59minutes.com – a single platform through which  MSMEs could get in-principle approvals within 59 minutes! This is undoubtedly a giant leap from the 20 – 30 days timeline that MSMEs used to face to get loan approvals.

Quick in-principle approval has been made possible by the use of powerful algorithms that syncs data from four primary sources

  1. Income Tax returns filed for the last 3 years,
  2. GST returns filed on periodic basis, and
  3. Bank statement for the last 6 months.
  4. Details of Directors / Promoters to assess their credit

The platform has been designed as an e-marketplace that connects MSMEs to Public Sector Banks (PSBs). This has an added benefit too. PSBs have to reserve 20% of their overall lending towards MSME lending. The marketplace will help PSBs satisfy this requirement as well.

Here are some FAQs that will help you


How do I create my account?

Creating an account is very easy. You need your email ID and your mobile number. An OTP will be sent to your mobile number which shall be used to verify the account. You will then be directed to create your password. After that is done, you can start using the platform.

What data should I provide to avail the benefit?

Once you log-in, you will see this

The following have to be noted

  • That only regular GST users can avail this benefit. Composition users will not be entitled to the scheme.
  • The platform also asks for declarations that returns have been filed in time and that there have not been any defaults in loan repayments.
  • That the applicant should be registered under MSME.

You will then have to link your GST account (through the Enable API link), upload your income tax returns (in XML format), upload bank statements for last 6 months (in PDF format) and provide relevant Director details.

Is it mandatory to upload FY 2017-18 IT returns?

Yes. Filing of returns for FY 2017-18 is mandatory to proceed.

Where should I provide loan details on the platform? Can I choose the bank?

After you have filled in all the basic details under ‘Provide your data’ you will then be asked to provide loan details, including promoter’s contribution. Different banks require different %ages of promoter contribution. This can go upto 30%.

After you have successfully filled in all these details, you will then be asked to select the bank that best suits your requirement. The rate of interest, term of loan and maximum loan amount would be mentioned here.

Should I provide any security or collateral to avail the loan?

No security / collateral is required to avail this benefit. The initiative is covered by the Credit Guarantee Trust for MSMEs. To read more about CGTMSE please click here.

Is there a fixed rate of interest? 

The interest rate could vary from bank to bank and would depend on the credit risk assumed by the bank. There is no fixed rate of interest announced.

Is there any payment to be made to get the in-principle approval?

Processing fee of Rs. 1,000 + GST shall be charged. The payment of this convenience fees is mandatory for receiving an in-principle approval.

How will I get a confirmation?

Post payment of the fee, you will get a message on the screen itself (it will read “Congratulations”) if the loan is approved. You will also get an email with a copy of the in-principle approval letter to your ID.


In case of any questions, please do not hesitate to reach out to us on pavan@bclindia.in or write to us on bclindia.in/contact/. We would be glad to be of your assistance