CM Punjab Asaan Karobar Card
The CM Punjab Asaan Karobar Card is a scheme designed to help small business owners in Punjab grow their businesses by providing them with interest-free loans of up to PKR 1 million. The loans are offered through a digital SME card, which can be used for various business expenses.
Key Features
- Loan Limit: Up to PKR 1 million
- Loan Duration: 3 years
- Type of Loan: Revolving credit facility for the first 12 months
- Repayment: 24 equal monthly installments after the first year
- Grace Period: 3 months after card issuance before repayments start
- Interest Rate: 0% (No interest)
- Use of Loan:
- Vendor and supplier payments
- Utility bills, taxes, and government fees
- Cash withdrawal (up to 25% of the loan limit) for business needs
- Digital transactions via POS or mobile app
Eligibility Criteria
- Target Group: Small Entrepreneurs (SEs) in Punjab
- Age Requirement: Between 21 and 57 years
- Residency: Must be a Pakistani national residing in Punjab
- Required Documents:
- Valid CNIC
- Mobile number registered in the applicant’s name
- Business located in Punjab
- Satisfactory credit and psychometric assessment
- Other Conditions:
- Only one application per individual/business
- Clean credit history (no overdue loans)
How to Apply?
- Submit Application: Apply digitally through the PITB portal.
- Processing Fee: Pay a non-refundable fee of PKR 500.
- Verification: CNIC, creditworthiness, and business premises will be verified digitally by authorized agencies.
Loan Usage & Repayment
- First 6 Months: Use up to 50% of the loan limit.
- Grace Period: 3 months after card issuance before starting repayments.
- Repayment: After 3 months, you must pay monthly installments (minimum 5% of the outstanding loan balance).
- Second 50% Limit: Released after successful usage and regular repayments.
- Business Use Only: Funds must be used for business purposes (personal use is blocked).
- Repayment After First Year: Remaining loan balance is repaid over 2 years in equal monthly installments (EMIs).
Charges and Fees
- Annual Card Fee: PKR 25,000 + Federal Excise Duty (FED) (to be deducted from the loan limit).
- Additional Charges: Covered by the scheme (life assurance, card issuance, and delivery).
- Late Payment: Late payment charges will be applied according to the bank’s policy.
Security and Verification
- Personal Guarantee: Borrower must digitally sign a personal guarantee.
- Life Assurance: Included in the scheme.
- Business Premises Verification: Physical verification within 6 months of approval and annually thereafter.
Key Conditions
- Restricted Use: Funds can only be used for business activities; non-business transactions (like personal expenses) are blocked.
- Tax Registration: Must register with PRA/FBR within 6 months of receiving the card.
- One Application Limit: Each individual or business can apply only once.
Additional Support for Applicants
- Feasibility Studies: Available for startups and new businesses on the PSIC and BOP websites.
For more information, visit the official website.
FAQ (Frequently Asked Questions)
1. Who is eligible for the CM Punjab Asaan Karobar Card?
Small entrepreneurs in Punjab aged 21 to 57 years, with a valid CNIC, mobile number, and a business in Punjab can apply. You must also have a clean credit history.
2. How much can I borrow with the Asaan Karobar Card?
You can borrow up to PKR 1 million.
3. What is the interest rate for this loan?
The loan has an interest rate of 0%.
4. How do I apply for the loan?
You can apply digitally through the PITB portal by paying a non-refundable processing fee of PKR 500.
5. What can I use the loan for?
The loan can be used for business-related expenses, such as vendor payments, utility bills, taxes, and supplier payments. You can also withdraw up to 25% of the loan amount for business-related cash needs.
6. How is the loan repaid?
Repayments start after a 3-month grace period. You’ll need to repay in 24 equal monthly installments after the first year.
7. Are there any fees involved?
Yes, there is an annual card fee of PKR 25,000 plus FED. Additional charges like life assurance are covered by the scheme.
8. What happens if I don’t repay on time?
Late payment charges will apply, according to the bank’s policy.
For more information, visit the official website.