Vidhya Laxmi Education Loan: Benefits, Eligibility & More

What Is Vidhya Lakshmi Education Loan?

Vidhya Laxmi Education Loan is a joint initiative taken by the Department of Financial Services (Ministry of Finance), the Department of Higher Education (Ministry of Education), and the Indian Banks Association (IBA).

The banks that are affiliated with this scheme are:

1. Rajasthan Marudhara Gramin Bank
2. RBL Bank Limited
3. State Bank of India
4. Tamilnad Mercantile Bank Limited
5. The Kalupur Commercial Co Op Bank LTD
6. The South Indian Bank LTD
7. UCO Bank
8. Union Bank of India
9. Yes Bank
10. Karnataka Bank Limited
11. Karnataka Gramin Bank
12. Karnataka Vikas Grameena Bank
13. Karur Vysya Bank
14. Kerala Gramin Bank
15. Kotak Mahindra Bank
16. New Indian Cooperative Bank Limited
17. Punjab and Sindh Bank
18. Punjab National Bank
19. Abhyudaya Cooperative Bank Limited
20. Andhra Pragathi Grameena Bank
21. AXIS BANK
22. Bank of Baroda
23. Bank of India
24. Bank of Maharashtra
25. Canara Bank
26. Central Bank of India
27. Chhattisgarh Rajya Gramin Bank
28. CITY UNION BANK LIMITED
29. Dombivli Nagari Sahakari Bank Limited
30. Federal Bank
31. GP PARSIK BANK LTD
32. HDFC Bank
33. ICICI Bank
34. IDBI Bank
35. IDFC First Bank
36. Indian Bank
37. Indian Overseas Bank
38. Jammu and Kashmir Bank Limited

This portal was made to ease the loan process for Indian students. So, read about the benefits of this Vidya Lakshmi Portal Education Loan with the expenses covered under this program.

Expenses Covered & Benefits of Vidya Lakshmi Education Loans

The Vidya Lakshmi Portal Education Loan is a beneficial program with several benefits. These can be classified as:

1. Using this portal, you don’t need to visit the bank in person.
2. There is a single application for different loans offered by different banks.
3. You can upload the documents on a single window portal.
4. Students can get information about the loans offered by all the banks in one place.
5. This portal helps the students financially who have a long dream of studying abroad.
6. Students can apply at 3 different banks at the same time.
7. Vidya Lakshmi Scheme eliminates the extra processing fees and other hidden charges.

It is important to know the coverage of this loan. So, the eligible expenses of this program are: Examination, Library, and Laboratory fees. Travel expenses, passage money for studies abroad. Purchase of books, equipment, instruments, uniforms, and computers at a reasonable cost, if required for course completion and any other expense required to complete the course like study tours, project work, thesis, etc.

So, these are the benefits and eligible expense coverage of the Vidya Lakshmi Portal Education Loan. However, there are few documents required and eligibility criteria to apply for this loan. Read about them in the next section.

Must Read: Know How to Get an Education Loan for Abroad Studies? 

Eligibility & Documents Required for Vidya Lakshmi Education Loan

The eligibility criteria for the Vidhya Laxmi Education Loan are:

1. The student must be a citizen of India.
2. Students can apply for loans to study both domestic as well as internationally.
3. The student must have passed 10+2 in board exams from India.
4. Students must pass the required merit entrance exam for admission into college.

Moreover, the documents required to avail of the Vidya Lakshmi Portal Education Loan are:

1. 2-Passport-sized photos of the candidate and the co-applicant.
2. A government issues original documents such as Aadhaar cards, PAN cards, etc.
3. In the case of a study abroad plan, students need to have a valid passport, study visa approval, and other relevant documents at the time of theVidya Lakshmi scheme
4. Birth certificate of the student.
5. Academic documents for 10th and 12th classes passing certificate or equivalent.
6. Letter of admission from the university along with fee structure of the course.

These are the documents required and the eligibility criteria for the Vidhya Laxmi Education Loan. Check them and ensure that you meet all the requirements if you are planning to apply for a study loan for abroad. Moreover, it is important to know the registration process for this education portal. Thus, read about it in the next section.

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Vidya Lakshmi Portal Registration Procedure

To begin the application portal of the Vidya Lakshmi scheme, you need to create a new profile on the official website. So, the steps to apply for this scheme are:

Step 1

• Visit the official website of Vidya Lakshmi Portal at https://www.vidyalakshmi.co.in/.
• Click on the register now button if you are a new user of this portal.
• Fill in your details like name, email, phone number, etc. to create a new account.
• You will receive a verification link on your registered email address. Click the activation link sent to verify your account.

Step 2

• After completing the registration process, the second step is to apply for the Vidhya Laxmi Education Loan, for which you have to search for the ‘Select and Apply for loan’ button.
• Select the country where you want to study. You have options for both India and abroad.
• Choose the course that you want to study there.
• After that, select the amount you want to finance your higher education.
• Select suitable terms and conditions for repayment and select three preferred banks to apply for the Vidya Lakshmi education loan.
• Upload the required documents on the portal.
• Do a cross-check on the details before the final submission of the application.
• After completing all the steps, click on the ‘Submit’ button.

Conclusion

To conclude, this was all about the Vidhya Laxmi Education Loan. This loan helps the Indian students through financial support of their studies both in India and abroad. In this blog, you have read about the banks that are part of this scheme and the requirements are also mentioned for your assistance. Moreover, the application process for this loan is also shared to help you apply with ease without visiting the banks. However, if you face any issues, then reach out for help to the experts who will introduce you to the Vidhya Lakshmi education loan interest rate and the perfect bank for your support.

FAQs

Q1. What Is the Limit of Vidya Lakshmi Education Loan?

The limit of the Vidhya Laxmi Education Loan is up to INR 15 Lakhs. However, there is a bigger amount, but the eligibility and procedure for a higher amount are tough to get.

Q2. Does the Vidya Lakshmi Loan Cover Education in Other Countries?

Yes, the Vidhya Laxmi Education Loan covers the student's higher education in both India and foreign countries. Thus, you can apply for this loan if you want to study abroad.

Q3. What is the tenure for the Vidya Lakshmi education loan?

The tenure of the Vidya Lakshmi Portal Education Loan is 15 years.

Q4. What Is the Interest Rate for Education Loans On the Vidya Lakshmi Portal?

The Vidhya Lakshmi education loan interest rate depends on the bank or the financial institute you are applying to. However, interest rates of the top banks for educational loans vary from 8.1% - 18% for a loan amount of Rs. 10 lakh.

Q5. What Are the Eligibility Criteria for Getting an Education Loan for Studying Abroad?

To qualify for an education loan to study abroad, you will need a strong academic record, confirmed admission to a recognized foreign university, proof of citizenship, to be above the legal age, and proof of finances to live abroad & the chosen course ideally having good job prospects.