West Bengal Chief Minister Mamata Banerjee said that the state’s Student Credit Card scheme has crossed a major milestone, with over one lakh loan cases sanctioned.
This credit card scheme was highlighted by the chief minister in her social media post, where she wrote that the flagship scheme is aimed at supporting higher education, allowing students to avail themselves of loans up to ₹10 lakh at a nominal interest rate, with the entire interest subsidy borne by the state government.
What is a student credit card?
This scheme is designed to support the students to pursue secondary, higher secondary, undergraduate and postgraduate studies, including professional degrees and other equivalent courses in any school, college, university and other affiliated institutes within and outside India.
Students studying in various coaching institutions for appearing in different competitive examinations, such as engineering, medical, law, IAS, IPS, WBCS, etc, can also avail the loan under this scheme.
A student from West Bengal can obtain a maximum loan of ₹10 lakhs at the rate of 4% per annum, simple interest from the State Cooperative Bank and its affiliated central cooperative banks and district central cooperative banks and public/ private sector banks.
An interest concession of 1% is provided to the borrower if the interest is fully serviced during the study period. The loan can be serviced in 15 years for any loan availed under this credit card, including the moratorium/ repayment holiday.
What milestone has been achieved?
As mentioned above, the credit card scheme has crossed a major milestone, with over one lakh loan cases sanctioned.
“Happy to share that under our Student Credit Card Scheme, the number of sanctioned cases has crossed today the landmark figure of 1,00,000,” Banerjee said.
She said the scheme will continue to help “budding talents” pursue their academic and career goals and extended her wishes to all students for a “very prosperous future.”
When was the student credit card launched?
The Student Credit Card Scheme was rolled out for citizens four years ago in 2021 to make education more accessible by reducing the financial burden on students seeking to study in India or abroad.
“The scheme will continue to assist the budding talents in reaching their desired goals,” Banerjee added.
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