In: Business and Management

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Central Interest Subsidy Scheme on Education Loan 1.Objective of Scheme: Ministry of HRD (MoHRD), Government of India (GoI), has formulated the Central Interest Subsidy Scheme with an objective to provide full interest subsidy for the period of moratorium on Education Loan to the students from Economically Weaker Section (EWS) with a total parental income upper limit of Rs. 4.50 lacs p.a. for pursuing approved technical/professional courses in India after class XII. The MoHRD has appointed Canara Bank as Nodal Bank for the scheme. 2. Features of the Scheme: Sr. Features No. 1 Target clientele Details • Students from Economically Weaker Sections (EWS) with a parental upper income limit of Rs. 4.50 lacs per annum • Admitted to approved technical/professional courses in India after class XII. • Students from Economically Weaker Sections (EWS) with a parental upper income limit of Rs. 4.50 lacs per annum. As per scheme, the income documents of parents will be certified by designated authority/ authorities appointed by District Level Consultative Committee (DLCC) at the district / sub – district / Block etc. level. The Branches / RACs have to contact their respective DLCC to obtain the list of such delegated authorities. • Admission to approved technical/professional courses in India after class XII in India in Educational Institutions established by Acts of Parliament, other institutions recognized by the concerned statutory bodies, Indian Institutes of Management (IIMs) and other institutions set up by the Central Government. • This scheme shall be applicable in respect of disbursements made on or after 01st April 2009 and for the academic year 2009-10, irrespective of date of



3. 4. 5. 6. 7.

Extent of assistance Upfront/Processing fee Interest Rate Security Other terms and conditions

sanction. In case of loans sanctioned prior to 1.4.2009…...

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