Free tool
CGTMSE fee calculator (AGF 2025)
Year 1 guarantee fee
₹22,000
- Slab
- Above ₹10 lakh to ₹50 lakh
- Rate applied (per year)
- 0.55%
- Estimated total over 5 years
- ₹70,793
| Year | Charged on | Fee |
|---|---|---|
| 1 | ₹40 lakh | ₹22,000 |
| 2 | ₹33.65 lakh | ₹18,507 |
| 3 | ₹26.56 lakh | ₹14,611 |
| 4 | ₹18.66 lakh | ₹10,263 |
| 5 | ₹9.84 lakh | ₹5,412 |
Your bank decides whether to pass this fee on to you or bear it. Banks with a better portfolio get a 10% discount on the standard rate; high-risk banks can be charged up to 70% more. Taxes, if any, are not included.
For education only. Calculations run in your browser; nothing you enter is sent or stored. Results are indicative: lenders apply their own policies, and this is not an offer of credit or advice. Disclaimer
How this works
Official standard rates (Credit Guarantee Scheme CGS-I, guarantees approved or renewed on or after 1 April 2025; source: cgtmse.in, checked 5 November 2026). The rate for your slab applies to the whole guaranteed amount, and it is the same for all activities, including trading.
| Slab | Standard rate (per year) |
|---|---|
| Up to ₹10 lakh | 0.37% |
| Above ₹10 lakh to ₹50 lakh | 0.55% |
| Above ₹50 lakh to ₹1 crore | 0.60% |
| Above ₹1 crore to ₹2 crore | 0.85% |
| Above ₹2 crore to ₹5 crore | 1.00% |
| Above ₹5 crore to ₹8 crore | 1.10% |
| Above ₹8 crore to ₹10 crore | 1.20% |
How it is charged: on the guaranteed amount in the first year and on the outstanding amount for the rest of the tenure. For a term loan, the calculator estimates the outstanding at the start of each year from a standard EMI schedule; your bank uses its actual figures.
Concessions of 10% on the rate apply to: women, SC/ST, persons with disability, Agniveers and transgender entrepreneurs; units in the North Eastern Region including Sikkim, J&K, Ladakh, Aspirational Districts and Identified Credit Deficient Districts (up to ₹50 lakh); and ZED-certified MSEs. The official table does not say whether concessions from more than one category combine, so the calculator applies a single 10% concession. Confirm with your bank.
Who pays: CGTMSE leaves it to the lending bank to decide whether to pass the fee on to the borrower or bear it itself.
Go deeper: What is CGTMSE?.
Common questions
What is the CGTMSE annual guarantee fee (AGF)?
It is the yearly fee CGTMSE charges for guaranteeing a collateral-free loan to a micro or small enterprise. For guarantees approved or renewed from 1 April 2025 it ranges from 0.37% to 1.20% a year, depending on the slab of the guaranteed amount.
What is the CGTMSE fee on a ₹50 lakh loan?
₹50 lakh falls in the "above ₹10 lakh to ₹50 lakh" slab, so the standard rate is 0.55% a year: about ₹27,500 in the first year. A 10% concession, for example for a woman entrepreneur or a unit in the Northeast, brings it to about ₹24,750.
Who pays the CGTMSE fee: the bank or the borrower?
CGTMSE leaves it to the lending bank. The bank may pass the fee on to the borrower or bear it itself. Ask your bank before you sign.
Is the CGTMSE fee charged every year?
Yes. It is charged on the guaranteed amount in the first year and on the outstanding amount for the rest of the tenure, so for a term loan it falls as you repay.
Is the fee higher for trading businesses?
No. Under the April 2025 structure the standard rate is the same across all activities, including retail and wholesale trade.