Interest Free Education Loan in Goa - Eligibility, Amount & More

Interest Free Education Loan in Goa – In recent years, the pursuit of higher education has become increasingly challenging for students and their families due to rising costs. Recognizing the critical role education plays in shaping a prosperous society, the Government of Goa has launched Interest Free Education Loan in Goa to facilitate equal access to quality education.

This initiative is designed to reduce the financial burden on students who are taking approved diploma and degree courses so that they can focus on their studies and reach their full potential. This education loan scheme allows students to borrow up to INR 16 lakh to pay for their higher education. One of the standout features of interest-free education loans is the absence of interest accrual (no interest is charged) during the repayment period.

Traditionally, higher interest rates on student loans make it difficult and time-consuming for graduates to repay their loans. The Interest Free Education Loan in Goa has made higher education more accessible to students by reducing the financial burden on their families. This has allowed more students to pursue their educational goals and plan for their future without worrying about the weight of debt.

Furthermore, this education loan is designed to be accessible to all students, regardless of their background. The eligibility criteria are based on merit and financial need so that academically deserving students who may not have the financial resources can still benefit from the program. By making education more affordable, the state government hopes to create a student body that is more diverse and intellectually rich. It will create a more dynamic learning environment where students can learn from each other’s different perspectives and experiences. This environment will be more conducive to innovation, critical thinking, and social mobility.

This article will provide a comprehensive overview of the Interest Free Education Loan in Goa, covering eligibility, loan amount, and other key information.

Interest Free Education Loan in Goa – Details

Interest Free Education Loan (IFEL) was launched by the Government of Goa.
It is launched for students who are residents of Goa.
It focuses on the younger population of Goa.
The scheme aims to support the students’ aspirations for higher education and technical training. Borrowers under this scheme will receive loans without having to pay interest, as long as they make all of their repayments on time.
To achieve this objective, the scheme covers a maximum study period of 5 years for courses conducted in India and a maximum of 2 years for courses pursued abroad.
The establishment of a ‘Higher Education Promotion Fund’ (HEPF) by the Government will serve as the central source for disbursing all loans sanctioned under this scheme.
Additionally, any repayments collected under the scheme will be credited to the HEPF. The Government will take responsibility for managing and conducting audits of the HEPF.
If the number of candidates must be limited in a particular year due to the HEPF’s financial situation, at least 2% of the selected candidates must be from the Scheduled Caste, 12% from the Scheduled Tribe, and 19.5% from Other Backward Classes. Additionally, 30% of the selected candidates in each category (General, SC, ST, and OBC) must be women.

Interest Free Education Loan in Goa – Eligibility Criteria

Any person below the age of 30 years, who has been a resident of Goa for a period of 15 years, is eligible to apply for and receive loans under the scheme, provided they fulfill the following conditions:

Qualifying Examination:

For professional/non-professional diploma/degree courses: Candidates must have passed Class 10 and 12 from recognized schools/boards in Goa.
For postgraduate courses: Candidates must have passed graduation from recognized institutions in Goa.
For educational courses not available in Goa: Candidates must have passed graduation from institutions outside Goa.
For PhD courses: Candidates must have passed postgraduation.

Minimum Marks:

For education in India, obtaining 55% or more marks in the qualifying examination is necessary (with a relaxation of 10% for Scheduled Caste (SC)/Scheduled Tribe (ST)/Other Backward Class (OBC) candidates).
For education abroad, obtaining 60% or more marks in the qualifying examination is necessary (with a relaxation of 10% for SC/ST/OBC candidates).

Meeting Economic/Financial Constraints:

The applicant must meet the prescribed eligibility conditions related to economic and financial constraints.

Approved courses:

Loans provided under the scheme can be utilized for pursuing various higher and technical education courses at both undergraduate and postgraduate levels. The eligible fields of study include:

Engineering (degree and diploma)
Dentistry
Medicine
Pharmacy
Architecture
Finance, including Chartered Accountancy and Cost Accountancy
Law
Fine Arts
Home Science
Management
Environment
Computer Science

Course Related Eligibility:

The course must be attended full-time.
The entitled fees payable to the institution for undertaking the course should be at least INR 10,000 per annum.
The course must be recognized by any of the following institutions/authorities:
- University Grants Commission (UGC)
- All India Council of Technical Education (AICTE)
- Medical Council of India (MCI)
- Dental Council of India (DCI)
- Architectural Council of India (ACI)
- Board of Technical Education, Goa
- Any other recognizing authority approved by the Government of India or the Government of Goa.

Interest Free Education Loan in Goa – Benefit

Students can avail the following maximum amount of loan in an academic year:

Study in India:

If the entitled fee is INR 10,000 and above, the maximum education loan offered per year is the actual entitled fee, which is subjected to a maximum of INR 2 lakh per year (Maximum loan amount disbursement of INR 10 lakh over 5 years)

Study Abroad:

The maximum loan per year is the actual entitled fees*, subject to a maximum of INR 8 lakh per annum. (Maximum loan amount disbursement of INR 16 lakh over 2 years)
Entitled fees include tuition fees, lab fees, development fees, and any other associated fees.
The maximum loan amount permissible is based on the actual entitled fees in India and abroad.
Any scholarships or benefits received by the applicant under other schemes will be deducted from the maximum loan permissible. The applicant must provide relevant details in their application.
Applicants have the choice to avail of loans at the maximum entitlement level or opt for a lesser amount based on their actual needs, which will result in a more manageable repayment schedule.

Note: *Entitled fees include tuition fees, lab fees, development fees and any other fees that are associated with lab fees.

Interest Free Education Loan in Goa – Loan Amount, Duration and Equated Monthly Installment (EMI)

Loan Amount	Repayment Period	Maximum EMI
Up to INR 50,000	18 months (1.5 years)	INR 2,777
INR 50,001 to INR 1 lakh	24 months (2 years)	INR 4,166
INR 1,00,001 to INR 2 lakh	36 months (3 years)	INR 5,555
INR 2,00,001 to INR 4 lakh	42 months (3.5 years)	INR 9,523
INR 4,00,001 to INR 8 lakh	48 months (4 years)	INR 16,666
INR 8,00,001 to INR 12 lakh	54 months (4.5 years)	INR 22,222
INR 12,00,001 to INR 16 lakh	60 months (5 years)	INR 26,666

The maximum loan amount a candidate can borrow in a year depends on the tuition fees charged by the institution.

How to Apply for the Interest Free Education Loan in Goa?

Visit the official website of Goa Education Development Corporation (GEDC).
Navigate to ‘Fresh Form’ option and download the application form.
Fill in the application form.
Attach the self-attested copy of the required documents with the form and submit it to the following address:

Goa Education Development Corporation (GEDC)
Ground Floor SCERT Building
Alto Porvorim, Penha de França,
Goa – 403521

Contact Details

Email ID – office-gedc.goa@nic.in | Phone Number – (0832)-2411194

Interest Free Education Loan in Goa – Documents Required

Self-attested copy of a valid 15 year residence certificate issued by a competent authority
Self-attested copy of birth certificate issued by a competent authority
Copy of parents’ IT return for the financial year 2021-22 (Assessment year 2022-23)OR
Attested copy of family annual income certificate for the financial year 2021-22 (Assessment year 2022-23) issued by a competent authority and signed by the Chief Officer or Commissioner of Municipality or Panchayat (in case of non-taxable income bracket) OR
Pension certificate for the financial year 2021-22, in case of retired parent OR
Affidavit, in case of unemployed parents (housewife mother or unemployed father)
Self-attested copy of marksheets of Class 10,12 and/or Diploma, Graduation, Postgraduation passing certificate
Sefl-attested copy of admission proof (in case of foreign studies)
Self-attested copy of fee receipt for the current academic year with stamp and signature from school/university/institute
Self-attested copy of caste certificate issued by the competent authority
Original bonafide certificate issued by the college for the current academic year along with year-wise fee structure for the entire course (tuition fee, lab fee, etc.)
Original Power of Attorney in the name of working parent (in case of studies outside Goa) [Only for students completing 18 years of age]
Self-attested copy of the bonafide certificate of sibling pursuing higher studies (in case where income exceeds) of the academic year 2022-23
Self-attested Xerox copy of student’s bank passbook cover page with account details (account number for electronic transfer) with IFSC code or cancelled cheque
Letter from the institution, if the original mark sheet and other documents are submitted to the institute
Previous year’s mark sheet in case the student is studying in 2nd, 3rd, 4th or 5th year
Self-addressed envelope with INR 5 per stamp

Note:

Formats for the above-mentioned documents can be downloaded from the official website.

The application must be filled out using a ballpoint pen. Refrain from using running handwriting.
Documents are required to be submitted in the above-mentioned sequence.
Attach a self-addressed stamped envelope along with the application form.
Applicants are required to scan each original document separately in colour mode and save it in JPG or PDF format. The file size must not exceed 2 MB. Submit on CD or DVD.
Applicants have to apply for the renewal of the loan for the subsequent year. Hence, they are required to submit the necessary documents as may be required.
The corporation reserves all the rights to cross-verify the above documents with the originals.
Incomplete applications will be rejected summarily.

Documents for Renewal Process

The documents required for the renewal process include:

Self-attested copy of fee receipt for the current academic year with stamp and signature from school/university/institute
Original bonafide certificate issued by the college for the current academic year along with year-wise fee structure for the entire course (tuition fee, lab fee, etc.)
Self-attested xerox copy of student’s bank passbook cover page with account details (account number for electronic transfer) with IFSC code or cancelled cheque

Distribution and Repayment Schedule – Important Details

The Goa interest free education loan scheme has a repayment period of up to 5 years.
Of the total funds allocated, 20% will be set aside for loans to study abroad, which will be granted based on a combination of financial need and merit using a suitable formula.
The scheme has seven different categories, each based on how much money is given to the applicant.
There is a 1-year moratorium period (grace period), which begins strictly after the completion of the minimum course duration, and not after the month in which the loan cheque is disbursed.
No extension will be granted for either the moratorium period or the repayment period.
No loan amount or penal interest will be waived.
Beneficiary shall apply for a clearance certificate or no due certificate with copies of repayment challans, once all dues are settled.
The loan amount must be repaid in equal monthly instalments by the 10th of each month in order to be exempt from paying interest.
Students can settle the entire loan amount at once after a minimum period of course duration or can make payments more than EMI.

>> Buddy4study-Education-Loan-Programme

Interest Free Education Loan in Goa – Frequently Asked Questions (FAQs)

Who is eligible to apply for the Interest Free Education Loan (IFEL) in Goa?

The IFEL is open to eligible students who are enrolled in certain undergraduate or postgraduate courses, are under the age of 30, and have been residents of Goa for 15 years.

What are the eligible fields of study for the IFEL in Goa?

The loan can be availed for pursuing higher and technical education courses in various fields such as Engineering, Dentistry, Medicine, Pharmacy, Architecture, Finance (including CA and Cost Accountancy), Law, Fine Arts, Home Science, Management, Environment, and Computer Science.

What is the maximum loan amount that can be availed under Interest Free Education Loan in Goa?

The loan amount varies based on the entitled fees charged by the institution. In India, the maximum loan per year is the actual entitled fees, subject to a maximum of INR 2 lakh per annum. For studies abroad, the maximum loan per year is the actual entitled fees, subject to a maximum of INR 8 lakh per annum.

Can scholarships or benefits received under other schemes affect the loan amount under the IFEL?

Yes, any amount received as a scholarship or benefit under other schemes will be deducted from the maximum loan permissible under this scheme. Applicants must provide relevant details of such scholarships or benefits in their application.

Are there any conditions for repayment of the Interest Free Education Loan in Goa?

Yes, the loan repayment is divided into seven different slabs based on the total amount disbursed. Each slab specifies the repayment period in months and the maximum Equated Monthly Installment (EMI) amount. The borrower must strictly adhere to the repayment schedule according to their respective slab.

Is it mandatory to avail the maximum loan amount entitled under the IFEL?

No, it is not mandatory to avail the maximum loan amount. Applicants have the flexibility to choose a lesser loan amount that fulfills their actual needs, resulting in an easier repayment schedule. They can decide the loan amount based on their specific requirements.