Prime Minister Narendra Modi on Friday inaugurated and laid the foundation stone for several development projects in Kerala. He also flagged off new train services to improve regional connectivity.
During the event, the Prime Minister laid the foundation stone for the CSIR–NIIST Innovation, Technology and Entrepreneurship Center.
He also launched the PM SVANidhi Credit Card, which offers an interest-free revolving credit facility linked to UPI.
Modi distributed loan amounts and credit cards to beneficiaries under the PM SVANidhi scheme. He said the scheme is aimed at supporting poor street vendors in Kerala as well as across the country.
The Prime Minister also flagged off three Amrit Bharat Express trains and one Thrissur–Guruvayur passenger train, which will strengthen rail connectivity between Kerala, Tamil Nadu, Karnataka, Telangana, and Andhra Pradesh.
PM SVANidhi Credit Card: Purpose and Implementation
The PM SVANidhi Credit Card is designed for street vendors who have fully repaid the first two installments of loans under the PM SVANidhi scheme.
Vendors who follow good credit discipline can get an interest-free credit period of 20 to 50 days, helping them manage cash flow and improve financial planning.
The scheme will be jointly implemented and monitored by the Ministry of Housing and Urban Affairs (MoHUA) and the Department of Financial Services (DFS).
DFS will ensure access to loans and credit cards through banks, financial institutions, and their field staff.
Key Features of PM SVANidhi Credit Card
Credit Limit:
Total credit limit is ₹30,000. Initially, a working limit of ₹10,000 will be provided, which can be increased up to ₹30,000 based on satisfactory usage.
Card Validity:
The card will be valid for five years from the date of issue.
Interest-Free Period:
An interest-free credit period of 20 to 50 days, as per the policy of the issuing bank or institution.
UPI Linkage:
The card can be linked to the beneficiary’s UPI ID, allowing payments using the credit limit through UPI.
Auto-Pay Facility:
ECS/NACH/Auto Pay facility will be available for automatic payment of the full due amount from the bank account on the due date.
No International or Forex Transactions:
International and foreign exchange transactions are not allowed.
No Cash Withdrawal:
Cash withdrawal through ATMs or POS machines is not permitted.
Merchant Category Restrictions:
Usage is restricted for certain merchant categories such as alcohol, gambling, foreign airlines, car rentals, international hotels, and select direct marketing businesses. All other merchant categories are allowed.
Revolving Credit Facility:
The card works like a revolving loan, allowing users to reuse credit within the approved limit after repayment.
EMI Facility:
Cardholders may convert a minimum bill amount of ₹2,500 into EMIs. The maximum interest rate is 1.5% per month, with an option for prepayment without penalties.
Other Important Characteristics
This is a retail credit card, not a trade or business card.
Reward points will be provided as per the issuing bank’s policy.
Billing and due dates will follow the card issuer’s rules.
All features applicable to the RuPay Credit Card – Classic variant will also apply.
Who Is Eligible for the PM SVANidhi Credit Card?
Street vendors who have successfully repaid the second installment loan and are eligible for the third installment loan.
Vendors who have already taken the third tranche loan, whether active or fully repaid.
Applicant age must be between 21 and 65 years.
The credit card is available in addition to the third installment loan. Vendors may choose either or both.
The applicant must not have NPAs or written-off accounts with any lender. SMA-0 accounts may be considered.
No minimum credit score is mandatory.
Documents Required
Applicants must submit the following documents:
Aadhaar Card
PAN Card
Proof of being a street vendor (Certificate of Vending, Letter of Recommendation, or ID issued by ULB/Block Office)
Savings bank account details
Current address proof, if different from the Aadhaar address
