Education Loan only for students studying in A & B Grade Colleges – from this year!
Posted on: 30/Apr/2015 5:37:32 PM
Central government has decided to offer education loans only to students who study in colleges of ‘A’ & ‘B’ grades.
The central government’s Human Welfare Development Department has instructed all Banks to carry out the necessary amendments immediately.
Currently, a concession of 0.5% is offered on the interest rates for students education loans. It has been announced to raise this concession to 1% and the the grace period of repayment of this loan is extended from 6 months to 1 year.
These amendments will be made effective during this year itself.
If the students apply for education loan through the relevant college, it is easier & quicker to get education loan. On completion of education, the loan particulars may be transferred to the branch in the student’s native place.
The Chief-coordinator of ‘Education Loans Awareness forum’, Mr. Rajkumar, informed that the forum has requested that as the students face a lot of difficulty in obtaining income-certificates, the limits on the income should be removed. Action must be taken on bank officials who violate the rules regarding loan approval.
A letter to carry out the necessary amendments has been sent to Banks Association and the Central department of Human Resources Welfare.
