Education Loan e-Voucher Scheme 2024

With an intent to empower many aspiring students to pursue their academic goals without the burden of financial constraints, a new higher education loan scheme was announced by the Union Finance Minister of India while presenting the Union Budget for 2024-25. With the introduction of e-vouchers that will be given to one lakh students every year to secure loans up to ₹10 lakh, it is likely to extend substantial support to several students in pursuing higher education in domestic institutions. Interest relief shall be provided on the outstanding loan at 3% of the loan amount in the form of annual interest subvention. Under this scheme, the government will provide higher education loans up to ₹10 lakh to eligible students.

The move will significantly help in reducing the financial burden on students. This initiative will undoubtedly promote enrolment in domestic institutions as well. A total of 1 lakh students can avail the benefits up to ₹10 lakh available under this scheme for pursuing higher education in domestic institutions. This will undoubtedly help youth, who have not been eligible for any benefit under government schemes and policies. A financial support for loans up to ₹10 lakh for higher education in domestic institutions will bring about a meaningful difference. E-vouchers for this purpose will be given directly to 1 lakh students every year for annual interest subvention of 3 percent of the loan amount.

Education Loan e-Voucher Scheme 2024
Announcement Date	July 23, 2024
Loan Amount	Up to ₹10 lakh
Interest Rate	3%
Objective	To provide financial assistance at low interest
Beneficiaries	Eligible students across India
Official Website	Yet to be announced

Besides, the Union Finance Minister also announced that the Model Skill Loan Scheme will be revised to facilitate loans up to ₹7.5 lakh with a guarantee from a government promoted fund. This is expected to help 25,000 students every year and added that a new centrally sponsored scheme for upscaling 1,000 Industrial Training Institutes (ITIs) will benefit 20 lakh youth over the course of 5 years. The upscaling will be done by updating the course content and design in alignment with the skill needs of the current industrial platform.

Education Loan e-Voucher Scheme 2024 – Benefits

Students from economically disadvantaged families including others will be able to obtain education loans up to ₹10 lakh to fund their higher education in domestic institutions.
With an annual interest rate of 3%, students can repay the loan amount with reduced financial burden.
The plan will provide financial help to one lakh students across the country each year.
Students can accomplish their goals by attending the best domestic institutions.
This initiative will improve the social standing and opportunities for higher education in India.

Education Loan e-Voucher Scheme 2024 offers a great opportunity to obtain an education loan at a low interest rate. The students facing financial challenges will now have one more assured alternative to resort to.

Education Loan e-Voucher Scheme 2024 – Eligibility

The scheme aims to target nationwide students who are in the real need of financial support. The proposed eligibility criteria are as follows:

Students must be a permanent resident of India with valid citizenship.
Students must have passed Class 12 and are willing to pursue higher education.
Students who belong to the Below Poverty Line (BPL), minor, and backward communities will receive extra preference.
The student’s family members must not be government employees or income tax-payers.
The students who have previously received education loans are not eligible.
More details shall be made available before the beginning of the application window.

Required Documentation

Photograph
Aadhar Card
PAN Card
Electricity Bill
Address Proof/Residence Certificate
Family Income Certificate
Educational Documents
Bank Passbook Details
Valid e-mail ID and Mobile Number

Education Loan e-Voucher Scheme 2024 – Application Process

The applications for the Education Loan e-voucher Scheme 2024 shall be accepted online. Announcements on the official website and application window shall be made available soon.

It is important to read all the provided information thoroughly before applying.
Applicants are advised to initiate the application process after having gone through the eligibility requirements criteria followed by uploading of the necessary documents.
They should ensure an error-free application devoid of ambiguities. Incorrect information will lead to cancellation of the application for an education loan.
Application should be submitted only after due verification of the details and documents requested.
Further communication for the applicants will be provided on the email address and contact number.

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Education Loan e-Voucher Scheme 2024 – FAQs

When was the Education Loan e-Voucher Scheme 2024 introduced?

The Education Loan e-Voucher Scheme 2024 was announced during the presentation of the Budget 2024 by the Union Finance Minister, Nirmala Sitharaman.

What is the objective of the Education Loan e-Voucher Scheme 2024?

The Education Loan e-Voucher Scheme 2024 aims to provide financial assistance to students who are willing to pursue higher education in domestic institutions and thus encouraging more youths to pursue higher education.

What are the benefits available under the Education Loan e-Voucher Scheme 2024?

The scheme provides an education loan up to ₹10 lakh with an interest subvention of 3% of the loan amount annually, making it an attractive option for financially backward students. This will undoubtedly help youth, who have not been eligible for any benefit under government schemes and policies.

What is the objective of the benefits available under the Education Loan e-Voucher Scheme 2024?

A financial support for loans up to ₹10 lakh at a nominal interest rate for pursuing higher education in domestic institutions will bring about a meaningful difference and motivate several students to pursue higher education. E-vouchers for this purpose will be given directly to 1 lakh students every year for annual interest subvention of 3 percent of the loan amount.

Where can the eligible students apply for the Education Loan e-Voucher Scheme 2024?

The eligible students can apply for the scheme online on the designated official website. Further details shall be made available soon. The application mode will be online.

What does interest subvention mean?

Subvention literally means a grant of money by the government. The government offers subvention mostly on home, crop and education loans. Interest subvention in this context implies interest relief that shall be provided on the outstanding loan at the rate of 3% of the total loan amount availed, in other words, a partial monetary relief and reduced financial burden of repayment due to interest subvention. This move will significantly help in reduction of financial burden on students and their families.

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