PM Vidyalaxmi Scheme: Everything You Need to Know about Education Loans
Introduction
An allocation of Rs 3,600 crore to more than 22 lakh students every year has been approved by the government. On Wednesday, the Union Cabinet approved the PM Vidyalaxmi Scheme to provide financial support to students for higher education.
Benefits of PM Vidyalaxmi Scheme; who will benefit?
The PM Vidyalaxmi Scheme will help meritorious students who belong to low-income groups. Students who get admission to Quality Higher Education Institutions (QHEIs) will be eligible to get collateral-free, guarantor-free loans from banks and financial institutions to cover the full amount of tuition fees and other related expenses.
All HEIs, government and private, that are ranked within the top 100 in NIRF in overall, category-specific, and domain-specific rankings, state government HEIs ranked 101-200 in the NIRF, and all central government-run institutions are eligible for the PM Vidyalaxmi Scheme. The list of eligible institutions will be updated every year according to the latest NIRF ranking.
Students will be eligible for a credit guarantee of 75 percent of outstanding default for loan amounts up to INR 7.5 lakhs.
Students having an annual family income of up to INR 8 lakhs and not eligible for benefits under any other government scholarship can avail of a 3 percent interest subvention for loans up to INR 10 lakhs.
How to Apply for the PM Vidyalaxmi Scheme?
To apply for the PM Vidyalaxmi Scheme, candidates will have to visit the official PM Vidyalaxmi Portal– https://www.vidyalakshmi.co.in/Students/. Students can apply for educational loans, scholarships and interest subvention on the official portal.
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