CGTMSE Guarantee & Fee CalculatorCredit Guarantee Cover & Annual Fee Estimator
Estimate the guarantee coverage percentage and calculate the Annual Guarantee Fees (AGF) including 18% GST. Covers updated 2025 slabs for credit facilities up to ₹10 Crore with concession logic for women, SC/ST, NER, and ZED units.
Calculator Inputs
Min: ₹1 LakhMax: ₹10 Crore
Min: 1 YearMax: 15 Years
Min: 5%Max: 25%
* Women, SC/ST, and PwD receive higher guarantee coverage limits and fee concessions.
Fee Amortization Summary
Year-Wise Fee Projections
Reducing Balance| Year | Outstanding (Start) | Base AGF Fee | GST (18%) | Total Annual Fee |
|---|---|---|---|---|
| Year 1 | ₹25,00,000 | ₹13,750 | ₹2,475 | ₹16,225 |
| Year 2 | ₹20,98,737 | ₹11,543 | ₹2,078 | ₹13,621 |
| Year 3 | ₹16,53,253 | ₹9,093 | ₹1,637 | ₹10,730 |
| Year 4 | ₹11,58,675 | ₹6,373 | ₹1,147 | ₹7,520 |
| Year 5 | ₹6,09,593 | ₹3,353 | ₹603 | ₹3,956 |
Frequently Asked Questions on CGTMSE Scheme
Understanding collateral-free credit, guarantee fees, and coverage rules
What is CGTMSE Scheme?
The **Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)** was set up by the Government of India and SIDBI. It provides credit guarantees to financial institutions, offering up to **75% to 90% collateral-free cover** on loans extended to micro and small businesses.
Who pays the Annual Guarantee Fee (AGF)?
Although the Member Lending Institution (MLI/Bank) pays the AGF directly to CGTMSE to keep the guarantee active, banks almost always pass this cost on to the borrower. The fee is charged annually on the outstanding principal balance.
How are AGF rate concessions applied?
Under the revised April 2025 rules, eligible borrowers (women entrepreneurs, SC/ST, PwD, or units located in NER, J&K, Ladakh, and Aspirational Districts, as well as ZED-certified units) get a **10% concession (discount)** on the standard annual guarantee fee rate.
Is CGTMSE cover mandatory for Mudra Loans?
No. Mudra loans (up to ₹10-20 Lakhs) are covered under the **National Credit Guarantee Trustee Company (NCGTC)** rather than CGTMSE. CGTMSE is generally used for larger, collateral-free business loans, PMEGP, or general working capital and term loans up to ₹10 Crore.
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