Introduction
I have published article on Interest Free Education Loans on 2009 and updated with another article once the scheme becomes operational. There are lot of queries on each article about the eligibility to apply for the scheme and various doubts. I have decided publish another article with more details about the scheme and the official link for the scheme. If you have any doubts, please post it in the comments section. It would be good if any one of you already applied for this scheme, please share with other readers.
Important Points on Interest Free Education Loans
Govt. has published this announcement through this link:
Interest Subsidy on Education Loans and Education Loans. I have taken the important points and summarized below.
- The benefits under the Scheme would be applicable to those students belonging to economically weaker sections, with an annual parental income upper limit of Rs. 4.5 lakh per year.
- The interest subsidy under the Scheme shall be available to the eligible students only once, either for the first undergraduate degree course or the post graduate degrees/diplomas. Interest subsidy shall, however, be admissible for combined undergraduate and post graduate courses.
- Interest subsidy under this scheme shall not be available for those students who either discontinue the course midstream, or for those who are expelled from the Institutions on disciplinary or academic grounds. However, the interest subsidy will be available for the actual period of study, only if the discontinuation was due to medical grounds for which necessary documentation to the satisfaction of the Head of educational institution will have to be given.
- There would be a tag/marker on the degree of the student indicating his repayment liabilities.
- The Scheme shall be applicable from the academic year 2009-10.
- Income proof shall be required from the students from such public authorities as are authorized by the State Governments for certification of income status for various purposes, including Central and State Sector Schemes.
Summary
I hope this post will be useful for the students. If you have any doubts, post it in the comments section.
Subscribe to our future articles here.
June 22, 2011 at 11:17 pm
Sir,
I have downloaded the circular issued by HRD Ministry of India (http://www.education.nic.in/scholarship/Schol-Studentloan.asp). The circular says the scheme is applicable only for the courses starting from 2009-10. i.e. the scheme applicable only for FY 2009-10 irrespective of loan approval date.
I have talked with IDBI bank (Nagpur) for student loan under Interest free loan scheme. IDBI bank says that I am not qualified for the scheme as my course does not start in year 2009.
Kindly suggest.
June 24, 2011 at 12:12 am
No reply yet from moderator?
Today I have checked on SBI website. It syas that the interest free loan scheme is applicable only for disbursement during academic year 2009.
Kindly suggest.
June 24, 2011 at 8:19 pm
hi sir..
its a great work by you to aware the students..
sir i have a little confusion
1.i had started PGDM (AICTEapproved college).
2. I coveres all the above condition.
3.i have taken loan from Allahabad Bank of Rs.2.5 lacks not from 2009- 10 (when i started Pgdm) but in the year 2010-11..My course is completed right now.
4. sir will i come under this scheme…my father has given interest on this amount?
5.i have asked regarding to manager and he has told me me that he has no information interest regarding for the period 2010-11.
6. is it necessary to pay the interest rate????????
seeking your valuable reply.
thanks
regards
vipin
June 26, 2011 at 2:51 am
Hello Sam,
Yes. The loan can not be available for the loans prior to the 2009.
Thanks,
Krishna
June 26, 2011 at 2:57 am
Hello Vipin,
I have spoken to the many of the students, it looks like the banks are not aware on the loans and we need to follow up many times to things done.
You must be able to claim the interest rebates. But, since you have completed the course, i am not sure bank will be happy to process your request.
Thanks,
Krishna
June 27, 2011 at 9:24 am
Sir, i entered in an engineering college in july 2009 ,which is approved by aicte.I m eligible in all above given conditins.Now i want to take edu loan without any interest for the coming 2 academic years.So what do i do?
Plz suggest me.
June 28, 2011 at 8:36 am
sir, I want to do engineering and will take the admission in next month, i want to have the education loan so can i come to know the list of banks giving 0% interest education loan.
June 29, 2011 at 9:51 am
sir,i have admited the course of engineering(me) in gla university mathura for session 2011-12.i want to without interest education loan for engineering.please tell me how to apply for loan and what is last date for apply and what is producure for getting loan.please inform me e-mail bhoop.singh878@gmail.com and mobile number is 09414878413
June 30, 2011 at 10:10 pm
Sir i want to study in l p u for btech in 2011. How i can take this free intrest loan. And from where?
July 4, 2011 at 10:58 pm
Hello Indra,
Please check with any of the nationalized banks to get the details.
Thanks,
Krishna
July 9, 2011 at 8:09 am
Sir
I am pursuing MCA in a recognised institute and i have taken educational loan from Canara Bank in 2009.
When i spoke to the concerned person in the loan division there, he said that this scheme is not applicable for mca course but only for courses after X11(like engineering,medicine)
July 9, 2011 at 8:19 am
Sir
I am pursuing MCA in a recognised institute and i have taken educational loan from Canara Bank in 2009.
When i spoke to the concerned person in the loan division there about this scheme, he said that this scheme(Central Scheme to provide Interest Subsidy (CSIS)) is not applicable for mca course but only for courses after XII (like engineering,medicine).
But the website of Indian bank says mca course can be recognized for this scheme and my friends who have taken loans from other banks have been considered for this scheme.
What do i do now?
Seeking your valuable reply.
Regards
Shubha
July 12, 2011 at 10:22 pm
sir,
i am pursuing engineering this year. so i want to take interest free loan what will be the process and please tell the names of the banks which provides the loans and please explain the applying process of loan
July 13, 2011 at 2:00 am
hi sir
I have taken loan from 2004 so am i eligible for subsidy. Pls tell me.
Regard
Sandy
July 21, 2011 at 11:52 pm
please let me know about this scheme and Wat can i do to get it and my family income less than 4.5lakh annually please i have financially problems for my further continuation of my studies please guide me
July 31, 2011 at 4:53 am
Sir
I have taken loan for PGDM (AICTE Approved) in the year 2008, till date I have not paid any interest, how can I use this scheme in repayment of my education loan, I am still searching a job my course completed in 2010. can my interest be waived off.
August 8, 2011 at 7:38 am
Interest free education loan scheme for economically weaker section is still continue or not as I want to take loan for my ward in Sept.2011.
August 10, 2011 at 12:58 am
sir
i join b tech in this sem aug 2011
canara bank refused my study loan
the officer say that you have no account in my bank
so you are not elligibal to take the loan for our branch
its anser is right ya wrong
August 18, 2011 at 1:28 am
I have already applied for the benefits of this scheme in January 2011. I submitted all the required document to the bank (SBI) along with the income certificate. Also bank does not give any acknowegement receipt when you submit these documents. But till date i have not received any credit in my loan account against the interest. My question is – Is there any way to track your request? I am continuously following up with the Branch Manager that when will the interest reversal will reflect in my loan account. The Branch Manager always reply in the same tone that – “As soon as the Government will release the amount to the bank, it will directly credited to the loan account and there is no way we can track the progress”. Please suggest.
August 29, 2011 at 2:34 am
As Nischal said, I have also been trying to follow up with the bank regarding the disbursal but even I get the same response. Please let us kow if there is a way we can track our request and also let us know from when will the banks start admitting the application for the fiscal year 2010-11 if at all they do?
September 2, 2011 at 2:38 am
Great work Krishna Sir!!!! This of great help.
Thank you.
September 16, 2011 at 5:13 am
sir i am studying m.tech (2011-13). how to apply to this scheme.pls tell me the procedure
September 23, 2011 at 10:49 pm
sir
my brother doing b.phrmacy.so i want to take loan for him..my father earn 190000p.a.but my father already take home loan.he has paid bank instalment p.m..sir tell me can my father take loan for my brother study..if yes then plz tell me how can i take study loan..my father asked for loan for few bank bt that bank didnt gave study loan..plz help me..
thanks
September 29, 2011 at 1:43 am
My son has completed his MBA from IIM Kolkata, it is surprising that bank SBT Bhikaji Cama Place approved the loan with interest @15% & since announcement was made in budget for subsidy & even central govt. have issued circulars in this regrd. I brought ths fact to the notice of bankers but they have been silent on this issue. I seek advise for further course of action despite the fact that I fall in the category of below poverty line since salary is Rs.2.28lacs/annum & have broyght to the notice of bank that copies of form 16 issued by employer can be prvided to verify eligiblity can be funished on demad. What action you propose so that I may not be harassed further.
Umesh Chopra
October 2, 2011 at 12:59 am
Sir,
i have availed edu loan from syndicate bank in 2006-07. my MBBS course ends in 2011. my parent income is less than 4 lacs PA. Am i eligible for education loan subsidy scheme? if yes how much pc subsidy? my banker says i’m not eligible. and they was no proper response from the bank. kindly help me please
October 2, 2011 at 1:00 am
Sir,
i have availed edu loan from syndicate bank in 2006-07. my MBBS course ends in 2012. my parent income is less than 4 lacs PA. Am i eligible for education loan subsidy scheme? if yes how much pc subsidy? my banker says i’m not eligible. and they was no proper response from the bank. kindly help me please
October 8, 2011 at 11:42 pm
i have take loan from allahabad bank in 2009.and as per the policy i am eligible for this.and i have submitted all document and income certificate of my dad.but after submitting they haven`t given me any acknowledgement receipt.and after asking them when will be it waived of then they are telling that when the govt will reimburse then your account will get credited..is there any way to track it.
October 9, 2011 at 9:31 am
sir, i am studing in vnit nagpur in session 2011-2012. This institution is AICTE proved. I want to take intrest free education loan. My father is income below 1 lac. pleasa tell me , can i able to this loan.
October 10, 2011 at 4:34 am
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October 13, 2011 at 11:40 pm
dear sir
i have availed edu loan from state bank of india in 2011-12 my b-tech course ends in 2015. my parent income is less than 1 lacs PA. i am eligible for education loan subsidy scheme.but my banker says i’m not eligible. and they was no proper response from the bank. kindly help me please
October 16, 2011 at 6:13 am
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A Sincere and certified private money lender approved
by the GOVERNMENT. I give out international and local loans to all countries
in the world. Amount given out $2,500 to $100,000,000 Dollars, Euro and
Pounds, available now are Business, Personal, House, Travel and Student
Loans. Apply for a loan today with your loan amount and duration.Its Easy
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October 20, 2011 at 10:48 pm
to whom we have to contact to take the concision in the repayment of education laon
November 3, 2011 at 12:10 am
Sir,
i have take loan from SBI in 2008 and .and as per the policy i am eligible for this.and i have submitted all document and income certificate of my dad.but after submitting they haven`t given me any acknowledgement receipt.and after asking them when will be it waived of then they are telling that when the govt will reimburse then your account will get credited..is there any way to track it.
i was paying monthly interest regularly since then but not from 4 month and after that i got a message on my cell phone that your account XXXXXX is irregular with amount of Rs. xxxx/-
what shud i do plz help.
November 15, 2011 at 2:03 am
Hello Sir,
I have taken loan from SBI in Aug,2007 for my MBA(2007-09),i am fulfilling all the criteria except the time as the cantral came out lately in 1st april 2009.So,
Am i iligible for CSIS -scheme ? or is there any concession for my interest that i can avail? pls inform me in my e mail id…
November 22, 2011 at 12:43 am
sir ,
i am manohar kumar singh i want to take admisition in next year in mca .i want to take education loan .my pairent income in less than 1 lakh .sir i want to take intrest free education loan help me.
November 26, 2011 at 2:33 am
sir, how are you! i am well. and Can i get education loan to Study i SPA IN DELHI ? Although i am bangladeshi student.please suggest me to get the education loan and continue my study. BEST OF LUCK!!!
November 28, 2011 at 4:20 am
Sir,
I had taken a education loan in 2005 for Engg course.I wanted to know if I am elligible for this scheme and if I am elligible what is the procedure to apply for that.please let me know asap.Thank you.
November 28, 2011 at 7:18 am
Sir,
I have taken an education loan from SBI for Govt. approved MBA course in May 2011.Is there any subsidy scheme?Total loan amt. Rs.3 Lakh. The annual income is less than 4 Lakh.The interest rate is 13.75 percent.
December 6, 2011 at 9:25 am
sir ,
i have taken te education loan in academic year 2010-11 and also taken education loan.
I have applied for free education loan for remaining years bt the bank is not responding any of my application please please tell me what to do
December 11, 2011 at 2:24 am
Is Subsidy scheme valid for the years 2010-11 and 2011-12 as well? Please reply.
December 15, 2011 at 9:11 am
sir,
i am m.tech first year student 2011-12 batch.my father is govt. can i get the benefit of that interest free loan .because i have not able to get good job till…i am faculty in engg colg but i want to do m.tech n want to be an faculty .
December 19, 2011 at 12:23 am
Sir,
I have taken an education loan from SBI for Govt. approved B.E course in May 2003.Is there any subsidy scheme?Total loan amt. Rs.1.5 Lakh. The annual income is less than 4 Lakh.
December 19, 2011 at 12:25 am
Sir,
I have taken an education loan from SBI for Govt. approved B.E course in May 2003.I got the loan for the year (2005 – 2007 only).Is there any subsidy scheme?Total loan amt. Rs.1.5 Lakh. The annual income is less than 4 Lakh.
December 26, 2011 at 1:44 am
hi sir i m dolly and complting be in 2011 i wnat my interest which i deposite back plz sujjest wht should i do
December 26, 2011 at 1:56 am
hi i m dolly i take admission in 2007 plz tell me what is the procedure so that no interest on my education loan i m comlptin all the requirmentrs of u acept hte date plz
December 27, 2011 at 12:33 am
i have taken education loan from IDBI bank ltd. and i want to take interst subsidy on my loan. so please tell me last date for submitting document.
January 6, 2012 at 6:39 am
Hello Sir,
Greetings,
Sir i am doing M.pharmacy from an AICTE approved college
IN october 2010 igot a letter from SBI regarding loan interest subsidy
then after i submitted my documents as per their need.
right now i am paying monthly interest on time.
on submission of documents bank told me that when Govt. will call for your documents then we will submit it. Also they said this time you are late.
what should i do now.
Please suggest.
Hope for a favourable reply.
Thanks & Regards:
Gourav Nagpal
January 7, 2012 at 12:23 am
Sir
I am pursuing MBA in a recognised institute and i have taken educational loan from Canara Bank in 2010.
how to repay the loan amount sir, after getting job?
with how much interest sir?
Thank you sir…..
January 10, 2012 at 10:47 pm
i have done a loan bt i dnt know about d interest . pls tell me about interest free loans.
January 12, 2012 at 10:25 am
Sir,
I taken loan Rs.313200 from Oriental bank of commerce in 2008 and i completed my PGDM in 2008 – 10. And till now i didn’t repay any money. My family income is less than 4lakh. Is i am able for this scheme? Is my interest will be detect?
Reply soon Please
Thank you
kamlesh