Centre launches PM Vidyalaxmi scheme; offers collateral and guarantor free student loan up to Rs 7.5 lakh
Students who are interested in seeking admission into higher education institutions and want to avail the loan facility can proceed for the same.
PTC News Desk: Central government has launched a new scheme PM Vidyalaxmi with an objective to help middle class students who wish to get admissions into higher educational institutions but are unable to achieve due to finacial constraints.
Students who are interested in seeking admission into higher education institutions and want to avail the loan facility can proceed for the same. The loans will be collateral-free and guarantor free. A maximum of one lakh students each year will be covered under the scheme. This is in addition to the full interest subvention already offered to students with up to Rs. 4.5 lakh annual family income. The government said that no meritorious student will be denied of higher education due to financial constraints.
Loan applications shall be processed for approval, monitoring and disbursal through the PM-Vidyalaxmi portal. Loans up to Rs 7.5 lakh shall be eligible for a credit guarantee of 75 per cent of outstanding default.
A designated list of high-quality Institutions will be prepared by the Department of Higher Education that will include top 100 ranked institutes in the overall/ category-specific and/or domain specific rankings in NIRF; plus Top 200 ranked HEIs of the State/UT Govt. in NIRF; plus all remaining HEls under Gol.