The “Direct Loan Scheme” is implemented by the Karnataka Leather Industries Development Corporation Ltd, under the Department of Social Welfare, Government of Karnataka. The scheme is designed to provide financial assistance to unemployed individuals from the Scheduled Caste leather artisan community to start or expand small-scale businesses. The aim is to improve the livelihoods of artisans and empower them by providing access to capital.
Scheme Key Highlights (Short Summary)
• Objective: Empower Scheduled Caste leather artisans by providing financial support for small business ventures.
• Benefits: 50% subsidy, 50% loan with easy repayment terms.
• Eligibility: Must be a leather artisan belonging to the Scheduled Castes, aged 18 or above, with an annual income within the specified limits.
• Loan Repayment: 24 equal installments with a 4% interest rate.
Benefits
• Financial Assistance: ₹1,00,000 total unit cost for business purposes.
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50% subsidy (₹50,000)
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50% loan (₹50,000)
• Repayment: The loan can be repaid in 24 equal installments with a 4% interest rate.
Eligibility
• Artisan Type: Must be a leather artisan.
• Scheduled Caste: The applicant should belong to one of the following sub-castes:
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Arundathiyar, Chammadiya, Chamar, Madar, Madiga, Samagara, Aadhi Karnataka, etc.
• Age: Applicant must be 18 years or older.
• Income: -
₹30,000 annual income limit for rural areas
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₹25,000 annual income limit for urban areas
• Other Criteria: -
The applicant or their family members should not have received benefits from other schemes, except for training programs.
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Family members should not be employed in government or semi-government organizations.
Application Process
Online
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Step 1: Visit the Seva Sindhu Portal.
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Step 2: Choose “New Users Register Here” and fill in your Aadhaar Number and Captcha.
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Step 3: Enter the OTP sent to your Aadhaar-linked mobile number.
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Step 4: Create your DigiLocker account by clicking Allow to proceed.
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Step 5: Fill out your email ID, mobile number, create a password, and click Submit.
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Step 6: After receiving OTPs on both your email and mobile, enter them and select Validate.
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Step 7: Once validated, you will receive a confirmation of successful registration.
To Apply for the Scheme:
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Step 1: Visit the Seva Sindhu Portal and select “Department & Services”.
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Step 2: Choose “Social Welfare Department” and click on the “Direct Loan Scheme”.
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Step 3: Click “Apply Online” and log in with your email ID/mobile number and OTP.
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Step 4: Fill in personal, address, and banking details as required.
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Step 5: Once submitted, you will receive an Application ID to track your application status.
Documents Required
• Aadhaar Card
• Caste Certificate (with RD number)
• Annual Income Certificate
• Ration Card
• Passport-size Photograph of the applicant and spouse
• Bank Passbook (First page)
• Detailed Project Report (for self-employment programs)
• Profession Certificate/Skill Test Certificate (issued by the technical section committee of the Corporation)
• Loan Documents
Frequently Asked Questions (FAQs)
Q: What is the Direct Loan Scheme?
A: The scheme provides financial assistance to unemployed Scheduled Caste leather artisans to help them start or expand small businesses.
Q: Who is eligible for the scheme?
A: The applicant must be a leather artisan belonging to Scheduled Castes with specific income limits.
Q: What is the age limit for applicants?
A: Applicants must be 18 years or older.
Q: Are female artisans given any reservation?
A: The scheme does not mention specific reservations for female artisans but they are eligible based on the general criteria.
Q: Can physically challenged artisans apply?
A: Yes, physically challenged artisans may apply if they meet the eligibility requirements.
Q: How do I apply for the scheme?
A: Applications can be submitted online through the Seva Sindhu Portal.
Q: Can I apply if my family member works in the government?
A: No, government-employed family members are ineligible.
Q: What documents are required for the application?
A: Required documents include Aadhaar, caste certificate, income certificate, and bank passbook.
Q: What is the process after application submission?
A: After submitting the application, it will be verified, and successful applicants will receive the loan and subsidy.
Q: Where is the final list of selected beneficiaries published?
A: The final list will be published on the Seva Sindhu Portal.