State-owned Punjab & Sind Bank has introduced an instant loan scheme for Micro, Small, and Medium Enterprises (MSMEs) with loans up to ₹25 lakh. The new scheme is aimed at boosting credit access through digital platforms. The MSMEs can easily take instant loan via digital portal of the bank. This process is expected to reduce the paperwork of the bank.
Expansion of Digital Loan Offerings
The bank has already rolled out digital home loan and vehicle loan schemes under the names PSB e-Apna Ghar and PSB e-Apna Vahan. These schemes offer in-principle loan approval within 15 minutes through a fully automated Straight Through Process (STP) powered by a Business Rule Engine (BRE).
“The automated approach eliminates manual intervention, making the loan process faster, more efficient, and enhancing customer experience,” said Ravi Mehra, Executive Director of Punjab & Sind Bank. “The product is almost ready, and final system checks are underway before its launch later this month,” Mehra added.
How MSME Loans will be assessed?
The loan process will primarily rely on cash flow assessments and digital tracking of account statements and GST returns. This system ensures faster approvals, even on holidays, while maintaining low default risks.
Digital KCC and MUDRA Loans in the Pipeline
Looking ahead, Punjab & Sind Bank plans to launch a digital platform for renewing and sanctioning Kisan Credit Cards (KCC) next month. Farmers will be able to access loans up to ₹2 lakh without collateral by visiting the platform or giving a missed call. If the account meets all criteria, the renewal process will be instant.
Additionally, the bank is working on providing collateral-free loans of up to ₹50,000 under the Pradhan Mantri MUDRA Yojana (PMMY) through its digital platform.
How to Apply Online?
- Visit the official website of Punjab and Sind Bank: https://punjabandsindbank.co.in/
- On top menu, click on Digital Loans
- Click on Loan Type – Mudra Loan or MSME Loan
- Fill Details and Follow Instructions
