In a significant move, Punjab National Bank (PNB) has taken a pioneering step by launching the PNB GST Sahay App, revolutionizing the way small and medium-sized businesses obtain loans. PNB has become the first public sector bank to extend loans to MSME sector entrepreneurs leveraging their GST profile.
The mobile application, PNB GST Sahay App, is part of the GST Sahay Scheme and is designed to simplify loan procurement for businesses operating within the MSME sector. This strategic initiative eliminates the need for arduous and time-consuming processes, offering instant loan access through the app. PNB has taken a major stride in supporting these businesses.
This initiative holds the potential not only to bolster the MSME sector but also to provide swift access to loans amounting to lakhs. Under the PNB GST Sahay scheme, the loan application process is entirely digital, streamlining the borrower's experience. The borrowed funds are directly deposited into the borrower's existing bank account.
Commenting on the launch of the PNB GST Sahay App, Atul Kumar Goel, MD & CEO of PNB, emphasized that the rapid advancement of FinTech is reshaping the landscape of banking. Emerging digital solutions are ushering in new forms of credit facilities for customers. He noted that technology now enables addressing valuation concerns, market reports, and valuation-related issues within a few clicks.
Goel highlighted PNB's commitment to leveraging technological progress to digitize the credit journey extensively. The bank, renowned for serving both the general public and top-tier industrialists, is dedicated to providing small loans to non-corporate agriculture and non-agriculture sectors within the MSME domain. This endeavor is poised to contribute to the nation's economic growth.
Understanding loan limits: The credit limit for the GST Sahay service begins at Rs 10,000 and can extend up to Rs 2 lakh per invoice, with a maximum cap of Rs 10 lakh. The PNB GST Sahay App streamlines loan payments for MSMEs by offering a hassle-free, one-time repayment process with a pre-payment option. This initiative is set to enhance accessibility to financial support for businesses while embracing the digital evolution in banking.
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