Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment

The Transport Loan Scheme is a debt programme run by the Delhi SC/ST/OBC/Minorities/Handicapped Financial and Development Corporation (DSFDC), a body working under the Government of NCT of Delhi. It gives people from specific Delhi communities the capital they need to buy a Light Motor Vehicle (LMV) and turn it into a source of livelihood.

The scheme is built around self-employment. Instead of a grant or a share in your business, DSFDC extends a term loan of up to ₹5,00,000 that the borrower repays in instalments — the vehicle itself becomes the earning asset. It is aimed at applicants who would find it hard to raise commercial vehicle finance on their own.

Because the scheme follows an open, rolling calendar, there is no closing date to aim for. Applications are collected at DSFDC branch offices and at its headquarters, and the form can also be downloaded from the corporation's official website. A processing fee applies at the time of submission.

In short: this is a state-level, category-targeted loan facility for transport-based self-employment in Delhi, disbursed after DSFDC screens the applicant's eligibility, paperwork and repayment record.

• Term loan of up to ₹5,00,000 for buying a Light Motor Vehicle
• Repayment spread over 60 monthly instalments across five years
• Six-month moratorium before instalments begin
• Open to SC, OBC, Minority and Safai Karamchari residents of Delhi aged 18–45
• Valid commercial driving licence and LMV badge are compulsory
• Applications accepted on a rolling basis with a ₹350 processing fee

This is a category-specific scheme, open only to applicants from the Scheduled Castes, Other Backward Classes, Minority communities and Safai Karamcharis.

• Domicile: you must be a permanent resident of Delhi.
• Age: applicants should be between 18 and 45 years old.
• Income: for SC, OBC and Minority applicants, annual family income must not cross ₹1,20,000. Within the Minority category, the creamy layer gets a higher ceiling of ₹6,00,000 per year. Safai Karamchari applicants have no income limit at all.
• Licence: a valid commercial driving licence along with the badge for Light Motor Vehicles is mandatory.
• Repayment record: you must not have been declared a defaulter under any scheme of DSFDC, a nationalised bank, a financial institution or a co-operative bank.

Every one of these conditions has to be satisfied — holding the required licence and badge matters as much as the category and income tests.

Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment is open to startups at any stage. It is open to startups registered anywhere in India.

Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.

The support here comes as a term loan of up to ₹5,00,000, sanctioned for the purchase of a Light Motor Vehicle (LMV).

• Purpose: the loan is meant for acquiring an LMV that the borrower uses to start or grow a transport-based self-employment venture.
• Repayment: the amount is recovered through 60 monthly instalments, spread across five years.
• Moratorium: a six-month moratorium gives the borrower a grace period before repayments begin.
• Disbursement: once the pre-sanction and post-sanction formalities are complete, the sanctioned amount is released into the applicant's account.

Since this is a loan rather than an equity investment, the borrower does not give up any ownership or stake in the business or vehicle.

Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment is offered by Delhi SC/ST/OBC/Minorities/Handicapped Financial and Development Corporation (DSFDC), a government body. As a government-backed debt / loan, it is publicly funded and open to eligible startups across India.

Applications are examined by DSFDC itself; there is no external jury or pitch round.

The corporation checks three things. First, whether the applicant actually fits the eligibility criteria — category, Delhi residency, age, income ceiling where applicable, and possession of a valid commercial driving licence and badge. Second, whether the application and its supporting documents are complete and in order. Third, whether the applicant has ever been declared a defaulter under a scheme of DSFDC, a nationalised bank, a financial institution or a co-operative bank.

If the application clears this screening, DSFDC issues a loan sanction letter. The applicant then has to complete post-sanction requirements — furnishing guarantor details, post-dated cheques where applicable, and group photographs — after which the approved amount is disbursed to the applicant's account.

Before you apply to Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment, keep the following documents ready:

• A pitch deck or short business plan describing the problem, product and traction
• Company registration documents and PAN
• Founder identification (PAN / Aadhaar) and brief profiles
• Recent financial statements or projections
• Product details — a demo, prototype or working link if available

Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.

Transport Loan Scheme (DSFDC) — ₹5 Lakh Loans for Delhi Self-Employment is best suited for startups in India seeking non-dilutive funding of ₹5L. If that describes your startup, review the eligibility criteria above before applying.