Micro Credit Finance is a Maharashtra government scheme for the Charmakar community that offers financial support of up to ₹1,40,000 at a low interest rate of 5% per annum. The scheme is run by Sant Rohidas Leather Industries and Charmakar Development Corporation (LIDCOM) with the support of the Social Justice and Special Assistance Department and funded by the National Scheduled Castes Finance and Development Corporation (NSFDC). It provides a ₹31,000 subsidy, a ₹4,000 beneficiary contribution and the remaining amount as a loan, so eligible entrepreneurs below the poverty line can improve their economic standing through leather-based businesses.
As of 2026, the scheme remains open for applications. The application form is available at the district office of LIDCOM, and eligible candidates from the Dhor, Chambhar, Holar and Mochi communities can apply offline through the corporation.
Micro Credit Finance - Introduction
Micro Credit Finance helps the Charmakar community by giving a mix of subsidy and loan for income-generating activities such as footwear manufacturing and leather goods production. The scheme is made for families living below the poverty line and aims to raise their educational and economic standing while helping them take part in the local market and government contracts.
The support is given at concessional rates through nationalized banks. Under the scheme, financial assistance up to ₹1,40,000 is provided at 5% interest per year, with ₹31,000 given as subsidy and ₹4,000 as the beneficiary's own contribution. The remaining amount is repaid as a loan.
Key Information
| Scheme Name | Micro Credit Finance |
|---|---|
| Level | State |
| Scheme for | Individual |
| Beneficiary State | Maharashtra |
| Category | Banking, Financial Services and Insurance, Business & Entrepreneurship |
| Target Beneficiaries | Individual |
| Sub Category | Banking and money, Loan |
| Benefit Type | Cash |
| DBT Scheme | No |
| Nodal Department | Social Justice and Special Assistance Department |
| Tags | BPL, Below Poverty Line, Financial Assistance, Employment, Credit |
Benefits
This scheme gives a clear financial push to help eligible people grow their trade. The support structure under the current rules is:
| Support Feature | Details |
|---|---|
| Financial Assistance | Up to ₹1,40,000 |
| Subsidy Amount | ₹31,000 |
| Beneficiary Contribution | ₹4,000 |
| Interest Rate | 5% per annum |
The money can be used for income-generating activities like leather goods production or footwear manufacturing.
Eligibility
To get this support, an applicant should meet the following conditions:
- Applicant should belong to the Charmakar community, covering the Dhor, Chambhar, Holar and Mochi groups.
- Age should be between 18 and 50 years.
- Applicant should hold permanent residency in Maharashtra.
- Family should come under the Below Poverty Line (BPL) category.
- Valid Income and Caste Certificates issued by an authorized official are required.
- Applicant should have relevant knowledge of the trade they plan to start or expand.
- For the NSFDC component, annual family income should not exceed ₹98,000 in rural areas or ₹1,20,000 in urban areas.
Application Process
Micro Credit Finance is an offline scheme. You should follow this process to apply for the loan:
STEP 1 - Visit the district office of Sant Rohidas Leather Industries and Charmakar Development Corporation (LIDCOM) during official hours and collect the application form.
STEP 2 - Fill in all required details correctly, attach a recent passport-sized photograph, and make sure supporting documents are self-attested.
STEP 3 - Submit the completed application along with the required documents to the designated office.
STEP 4 - Keep the submission receipt, which carries the date, time, and unique identification number for future reference.
Documents
Keep these documents ready before applying:
- Passport-size photograph
- Aadhaar Card
- Valid Income Certificate
- Valid Caste Certificate
- Residence proof
- Bank passbook or relevant bank details
- Any additional documents asked by the department
References
Official Micro Credit Finance Scheme Page
FAQ's
What is Micro Credit Finance?
It is a financial assistance scheme for the Charmakar community that provides loans and subsidies for socio-economic development.
Who is eligible to apply?
Applicants from the Charmakar community who meet the age and income conditions can apply.
What is the eligible age range?
Applicants should be between 18 and 50 years old.
How much loan amount can I receive?
The scheme provides financial assistance up to ₹1,40,000.
What is the applicable interest rate?
The loan carries an interest rate of 5% per annum.
Is there a subsidy component?
Yes, the scheme includes a subsidy of ₹31,000 and a beneficiary contribution of ₹4,000.
What are the income limits?
Applicants should be below the poverty line. For the NSFDC component, income caps of ₹98,000 (rural) and ₹1,20,000 (urban) apply.
Where should I submit my application?
Offline applications are submitted at the district office of Sant Rohidas Leather Industries and Charmakar Development Corporation (LIDCOM).
Which documents are essential?
Caste and Income Certificates from an authorized government officer are required.
What can the loan be used for?
The funds should be used for business activities related to the Charmakar community, such as manufacturing leather goods or footwear.