What is Education Loan?
Education loan is a loan availed by the borrower for the purpose of managing the expenses of enjoying quality education. Education loan can be availed through the government or banks or even private lenders. The loan is offered to students who want to pursue education in India or abroad. The amount of loan offered to the student, depends on the course that is being pursued and the country where the student has secured admission. The education loan covers all the expenses related to completion of the course. The main benefit of availing an education loan is the repayment starts on the completion of the course.
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Education Loan Scheme By Narendra Modi- Vidya Lakshmi Portal
Document Required for Education Loan:
To apply for the education loan the applicant must submit the following documents:
- Proof of identity
- Proof of residence
- Copy of the admission letter
- Copy of the fees schedule
- Passing certificate or mark sheet
- Optional- guarantor form
- Bank statement of the co-applicant.
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Quick Introduction of the Vidya Lakshmi Student Education Loan Scheme:
This scheme is launched by the Union Government led by PM Narendra Modi. The Vidya Laxmi scheme is a web portal where finding a proper education loan is easy and convenient to aspiring students. The scheme is aimed at providing a single window to all students to access funds and information related to educational loans as well as government scholarships. The portal is a gateway to students applying for loans or scholarships by filling up a single form. The portal provides 22 different education loan schemes.
Benefits of Vidya Lakshmi Portal Education Loan Scheme:
The benefits of the Vidya Laxmi scheme are as follows:
- The portal provides proper information on the different education loans.
- Common education loan application form is available for students
- The form enables you to apply for different education loans using a single form.
- The site is linked to the government portal of the National Scholarship. The students can get all information related to scholarships and also the application process of the scholarships.
- The applicants are provided with easy access and can view the status of their application at any time.
- The applicants can also send e-mail grievances or any queries related to education loan
- Bank can upload the loan processing status.
- Banks can also download the student’s loan application.
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Objectives of Vidya Lakshmi Portal Education Loan Scheme:
The main objective of the Vidya Laxmi portal is to provide an easy and efficient system through which the aspiring students can avail proper information regarding the education loan as well as apply for loans and government scholarships through the same portal. The objective of the portal is to help the students, so that they do not leave education midway due to lack of funds.
Features of Vidya Laxmi Education Loans:
The portal is expected to provide a gateway to aspiring students so that they can access student’s loan to pursue their educational goals. The key features of the education loans are as follows:
- Information centre: the portal provides information related to the various education loans provided by banks as well as the government scholarships.
- Forms: the CELAF form or the common education loan application form is available for all students who wish to apply for loans through this portal. The benefit of the form is that the applicant can apply for multiple loans through one form.
- Access to multiple banks: the applicant gets access to multiple banks through the website. The applicant can compare the rates of interest and terms of various banks, without having to go through the hassles of visiting various banks physically.
- Status updates from banks: banks on this web portal can update easily and conveniently the status of the loans applied by the students.
- Queries or grievances: for queries regarding any particular loan, students can use the facility to ask on their queries to the bank. Students can also reach the banks with their grievances through the e-mail service available on this portal.
- Dashboard facility to students: every student who is registered on the website gets access to the dashboard facility that can be availed after logging in on the site. The students can get information regarding their loans.
- Access to scholarships: the portal is linked to the national scholarship portal where students can find necessary information on the government scholarships. The candidates can go through the eligibility criteria and apply for the scholarships accordingly.
- Banks get access to students: the banks that are participating on this portal get direct access to all the application forms of the students. They can download the forms and check on the eligibility of the students and provide proper feedback.
How to apply for an educational loan through the Vidya Lakshmi portal?
The below mentioned steps show the process through which an applicant can apply for education loans through the Vidya Laxmi portal:
- The applicant must register on the Vidya Laxmi portal.
- Fill the common application form for scholarship which is also known as common education loan application form (CELAF).
- The portal suggests various education loans based on the eligibility criteria of the applicant.
- The applicant can choose and apply for as per the requirements, eligibility and convenience.
The Vidya Laxmi scheme launched by the government is definitely one of the most comprehensive schemes that can make the application process of educational loans, simple and hassle free.
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