Education Loan Scheme
Scheduled Caste students can get education loans from the National Scheduled Castes Finance & Development Corporation (NSFDC) at subsidized interest rates of 5.5–7% for professional courses including engineering, MBBS, MBA, law, architecture, nursing, and many more. Loans go up to ₹30 lakhs for India and ₹40 lakhs for abroad, with female students paying 0.5% lower interest. Apply online at nsfdc.nic.in or through your nearest State Channelizing Agency (SCA).
About This Scheme
Scheduled Caste students can get education loans from the National Scheduled Castes Finance & Development Corporation (NSFDC) at subsidized interest rates of 5.5–7% for professional courses including engineering, MBBS, MBA, law, architecture, nursing, and many more. Loans go up to ₹30 lakhs for India and ₹40 lakhs for abroad, with female students paying 0.5% lower interest. Apply online at nsfdc.nic.in or through your nearest State Channelizing Agency (SCA).
Full official description
A scheme named "Education Loan Scheme" by National Scheduled Castes Finance and Development Corporation (NSFDC) under the M/o Social Justice and Empowerment provides loans to students from Scheduled Castes who are pursuing full-time professional or technical courses in recognized institutions. The objective of the scheme is to extend Education Loans to the students of Backward Classes for pursuing professional/technical education at the graduate and higher levels and for pursuing vocational Courses. All professional and technical courses at the graduate and higher levels are approved by the appropriate authority and vocational courses. Educational Loan shall be provided to eligible students for pursuing regular full time Professional / Technical recognized courses approved by the Government in the following fields in India or abroad :
Engineering (Diploma/ B.Tech /B.E, M.Tech/M.E.)
Architecture (B.Arch/M.Arch)
Medical (MBBS/MD/MS)
Biotechnology/Microbiology/Clinical Technology (Diploma/Degree)
Pharmacy (B.Pharma/M.Pharma)
Dental (BDS/MDS)
Physiotherapy (B.Sc./M.Sc.)
Pathology (B.Sc/M.Sc.)
Nursing (B.Sc./M.Sc.)
Information Technology (BCA/MCA)
Management (BBA/MBA)
Hotel Management & Catering Technology (Diploma /Graduation/Post Graduation)
Law (LLB/LLM)
Education (CT/NTT/B.Ed/M.Ed)
Education (CT/NTT/B.Ed/M.Ed)
Physical Education (C.PEd./B.PEd/ M.PEd)
Journalism & Mass Communication (Graduation/Post Graduation)
Geriatric Care (Diploma/Post Graduate Diploma)
Midwifery (Diploma)
Laboratory Technician (Diploma)
Chartered Accountancy (CA)
Cost Accountancy (ICWA)
Company Secretaryship (CS)
Actuarial Sciences (Graduation/ Post Graduation/FIA)
Associate Member of Institute of Engineers (AMIE) and Institute of Electronics & Telecommunication
Higher education like Doctoral Studies leading to M.Phil/PhD from recognized institutions.
Benefits
- Loan up to ₹30 lakhs for studies in India (or 90% of course fee, whichever is less)
- Loan up to ₹40 lakhs for studies abroad (or 90% of course fee, whichever is less)
- Interest: 6% per annum for male students; 5.5% for female students (India-based courses)
- Interest: 7% per annum for male students; 6.5% for female students (abroad courses)
- Moratorium of 6 months after course completion or employment, whichever is earlier
- Repayment period: up to 10–12 years
Who Can Apply (Eligibility)
- Must belong to the Scheduled Caste community
- Annual family income must not exceed ₹3,00,000
- Must be enrolled in a full-time, recognized professional or technical course at graduate level or higher
- Eligible courses include engineering, MBBS, MBA, MCA, law, architecture, nursing, CA, CS, and more
- Loan cannot be used for a course that has already been completed
Exclusions
- The educational loan cannot be provided for the completed course.
How to Apply
- Click on official website to apply for the scheme.
- Fill the Education Loan Application Form with all the details.
- Click on Submit.
- Download the**** application form for this scheme.
- Fill out the application form, enclose the documents, and submit them to the nearest bank or in the office of NSFDC.
Frequently Asked Questions
What Is The Full-Form Of NBCFDC?
The full-form of NBCFDC is "National Backward Classes Finance And Development Corporation".
Which Ministry/Department Manages This Scheme?
This scheme is managed by the Ministry of Social Justice & Empowerment.
For What Purposes Can The Amount Of The Loan Be Utilized?
The amount of the loan can be utilized by the students of Backward Classes for pursuing professional/technical education at the graduate and higher levels and for pursuing vocational Courses.
What Kinds Of Expenses Are Covered In This Scheme?
The following expenses are covered: Admission Fee & Tuition Fee; Books; Stationery & other instruments required for the course; examination fee; boarding & lodging expenses; insurance premium for policy during the loan period.
What Percentage Of The Expenditure On The Course Will Be Borne By The Student/SCA? Is There An Upper Ceiling?
90% of the expenditure of the course is subject to a maximum loan limit of [?]15,00,000 per student (For study in India), the balance will be borne by the student/SCA.
What Is The Meaning Of SCA?
SCA means "State Channelizing Agency".
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- Proof of Identity (Aadhaar Card)
- Passport Sized Photograph
- Proof of Educational Qualification (Passing Certificate / Marksheet)
- Caste Certificate (issued by the relevant authority of District Administration).
- Annual Family Income Certificate on self-certification of the beneficiaries with the endorsement of the same by any Gazetted Officer notified by the State/Central government.
- In the case of a loan being applied at the Bank (Channel Partner), Self-Certification assessed and endorsed by the Branch Manager can be treated as valid proof.
- Bank Details of the Applicant.