Education Loan in Bihar / Bihar Student Credit Card Scheme
Education is the foundation of progress and advancement, ensuring that every aspiring learner is granted an equitable opportunity to pursue their aspirations. In the contemporary landscape, the global significance of education is undeniable. Unfortunately, the escalating educational expenses challenge numerous families, rendering them incapable of meeting the financial demands of their children's education.
There's encouraging news for those facing financial constraints in pursuing education: the government has instituted various education loan programs to assist economically disadvantaged individuals. Bihar is no exception in this regard. Delve into the below post, where comprehensive details on education loan in Bihar are presented. The information shared proves invaluable for students in Bihar, covering essential aspects such as necessary documentation, the advantages of opting for these loans, and more.
Education Loan in Bihar – About
The Education Loan in Bihar represents a forward-thinking endeavour to offer financial support to deserving students aspiring to pursue advanced education. Within this initiative's framework, qualifying students can secure loans with reduced interest rates, addressing expenses related to tuition fees, living arrangements, and other educational requirements.
The student credit card program in Bihar is an initiative offered by the Bihar government, catering to students seeking higher education. Explore the scheme's key features and the Bihar student credit card interest rate.
What is the Bihar Student Credit Card Scheme?
The Bihar student credit card initiative was inaugurated on the commemoration of Gandhi Jayanti on October 2, 2016. This program extends an educational loan of Rs. 4 lakhs to every 12th-grade graduate aspiring for higher education, facing financial constraints. The education loan in Bihar under this scheme encompasses living expenses and educational costs, covering tuition fees, including hostel charges, and even accommodation expenses without hostel facilities.
The loan will be accessible for higher education, encompassing conventional courses such as B.A/B.Sc and professional/technical courses like engineering, medical, management, and law.
Key Highlights of Bihar Student Credit Card Scheme
- Scheme Name: BSCC (Bihar Student Credit Card Scheme)
- Provider: Bihar Government
- Objective: Support students financially who passed the 10th and 12th exams for higher education
- Website: bmv.bihar.gov.in/
- Benefits: The scheme offers education loan in Bihar to eligible students with a low-interest rate of 4% per annum. Get an education loan up to 4 Lakh at the simple interest rate. Female students for PWD and transgender applicants can get the loan with the lowest interest rate of 1% annually.
What are the Eligibility Criteria for the Education Loan in Bihar?
To access the various advantages of the education loan in Bihar, prospective applicants must fulfill the eligibility criteria outlined below.
- Applicant needs to be a resident of Bihar, India.
- The student should have successfully obtained admission to a recognized institution, whether for a diploma, undergraduate, postgraduate, or professional course.
- The annual income of the student's family needs to fall below a designated threshold, as specified by the government.
- Additionally, the applicant must not have a history of defaulting on other loans.
- The age range for applicants is between 16 to 25 years.
- Applicants are required to possess a 12th-class certificate.
- Those applying for overseas studies must provide scorecards for exams such as IELTS, GRE, GMAT, etc.
Documentation for Education Loan in Bihar
When a student requires an education loan in Bihar, the necessary documents must be submitted to the banks. The bank decides the Bihar student credit card interest rate based on the documentation. Below is a comprehensive list of the required documents.
- Aadhar Card, PAN card, or any alternative identity proof.
- Proof of residence.
- Official admission letter from a recognized institution where you intend to pursue your studies.
- Recent passport photos.
- Academic records, including mark sheets and certificates for 10th and 12th grades.
- Certificate of income.
- Income tax return certificate for the past two years.
- Receipt of tax payments, if any
How to Apply for Education Loan in Bihar - Process
One can conveniently submit an online application to secure an education loan in Bihar. Let's delve into the steps in applying for the Bihar student credit card scheme. Before initiating the application, ensure you meet the eligibility criteria and have the necessary documents.
- Begin by visiting the official website.
- Click on the "new application registration" tab.
- Input your details, including name, email ID, Aadhar number, and mobile number. Provide comprehensive information and select the "Send OTP" option.
- Receive a one-time password promptly on your registered mobile number and email address; proceed to submit it.
- After submitting the OTP, the personal details and contact form will appear.
- Complete the form by providing the necessary information to access the Bihar credit card scheme application form.
- Re-enter all required details in the form and submit it.
- Upon submission of all forms, receive a unique registration number on your registered mobile number and email address.
- Following completion, a PDF-formatted document will be generated, outlining the necessary documents for submission and specifying a scheduled visit to the District Registration and Counseling Centre (DRCC) counter for further processing.
- On the designated date, visit the District Registration and Counseling Center with all the required documents.
- Upon submission of all documents, obtain the application receipt from the designated counter.
Know Your Application Status
After applying for the education loan in Bihar, please proceed with the following steps if you wish to inquire about the approval status.
- Navigate to the website bvm.bihar.gov.in.
- On the homepage, locate the "Application Status" section.
- Select the "Student Credit Card Scheme" option from the ensuing page.
- Complete the application status form on this page by providing essential details such as Aadhar number, Registration ID, and other required information.
- Click on the submit button to proceed.
- This will display the current status of your application.
Approval Process of Education Loan in Bihar
After submitting your Bihar credit card scheme application, refer to the steps below to understand how the government conducts the approval process.
- Government officials will handle the processing of all submitted applications.
- Verification will be conducted in collaboration with the educational institution upon applying for the education loan in Bihar.
- The verification process is expected to conclude within 15 days from the scheme's application date.
- Following verification, beneficiary details will be forwarded to the bank.
- Within the next 15 days, the loan approval process will be completed.
- You will receive an SMS notification on your registered mobile number upon approval or disapproval.
- In the event of loan approval, a visit to the bank will be required.
What are the Benefits of Education Loans in Bihar?
The Education Loan in Bihar provides numerous advantages to students, such as:
- The loans extended through this scheme feature favorable interest rates, alleviating the repayment burden for the beneficiaries.
- Students are granted the flexibility to repay the loan amount through convenient installment plans following the conclusion of their course.
- The loan encompasses an array of expenditures, covering tuition fees, hostel charges, books, equipment, and other essential educational needs.
- Beneficiaries are entitled to a moratorium period, exempting them from loan repayment obligations. The commencement of repayment occurs either upon course completion or upon securing employment.
- Timely repayment of the education loan in Bihar contributes to students building a positive credit history, which is advantageous for future financial pursuits.
The Bihar Government’s credit card scheme or education loan in Bihar reflects the government's dedication to ensuring equitable educational opportunities. Through providing financial aid with reduced interest rates, this initiative paves the way for numerous students to pursue their academic dreams. With its simplified application procedure and appealing benefits, the scheme proves to be transformative for students in Bihar, fostering their path towards a promising future.
We trust that the information provided on education loan in Bihar proves beneficial for the students in the region. The availability of these education loans has served as a valuable resource for numerous students who may have otherwise faced challenges in pursuing their studies.
Frequently Asked Questions for Education Loan in Bihar
What constitutes the interest rate on student loans in Bihar?
A. The Bihar student credit card interest rate varies for nationalized banks, with rates standing at 9% and 14%, while for private banks, the interest rate ranges from 11% to 17%.
What is the cap on education loans in Bihar?
A. Under the Bihar student credit card scheme, the limit for education loans in Bihar is Rs. 4 lakhs.
Are students enrolled in distance learning courses eligible for the education loan in Bihar?
A: No, the education loan in Bihar exclusively applies to regular courses provided by recognized institutions.
Are there any considerations for loan forgiveness or waivers?
A: The education loan does not incorporate loan forgiveness or waiver provisions. Nonetheless, consistent and punctual repayments can positively affect the student's credit history.
Is there a fee associated with applying for the Education Loan in Bihar?
A: There is no application fee for applying for an Education Loan in Bihar.