What is the maximum repayment period for a Mudra loan?

The maximum repayment period for a Mudra loan is generally up to 5 years. This tenure is designed to offer flexibility to small business owners, giving them sufficient time to repay the loan while managing their business operations. Depending on the category of the Mudra loan—Shishu, Kishore, or Tarun—the repayment tenure can vary, with smaller loans often having shorter repayment periods. For instance, Shishu loans (up to ₹50,000) may have shorter repayment durations, while Kishore and Tarun loans, which are higher in amount, could offer longer repayment periods. The loan will be subject to the terms and conditions set by the lender, as well as the general rules of the Reserve Bank of India. It is important to note that the repayment schedule and period may also be influenced by the lender’s policies and the nature of the borrower’s business. Make sure to discuss these terms with your lending institution to understand your obligations fully. To determine the interest payable and the EMI for a loan amount, use a MUDRA loan EMI calculator to make an informed decision.