Why Vidyalakshmi Education Loan is the Best Option for Students

Why Vidyalakshmi Education Loan is the Best Option for Students

Education is a fundamental right of every individual, and it is imperative to make it accessible to all. In a recent survey conducted by the government, it was revealed that thousands of students, unable to afford higher education, are compelled to abandon their dreams. However, a viable solution to overcome this obstacle is the Vidyalakshmi Education Loan. It offers an excellent platform for students to pursue their academic goals without any monetary limitations. In this article, we will explore why Vidyalakshmi Education Loan is the best option for students.

What is the Vidyalakshmi Education Loan?

The Vidyalakshmi Education Loan aims to provide financial assistance to students who aspire to pursue higher education but lack the funds to do so. It is a centrally sponsored portal which acts as a single platform for all loan-related services. It is an initiative of the Government of India and aims to bring all banks under one umbrella to provide loans to deserving candidates at subsidized rates.

Advantages of Vidyalakshmi Education Loan

There are numerous benefits to taking a Vidyalakshmi Education Loan. Here are some of the primary advantages:

1. Wide Range of Institutions Covered

The Vidyalakshmi Education Loan is open to all students who have secured a seat in a recognized educational institution in India or abroad. It includes various colleges, universities, and institutes of national importance.

2. Competitive Interest Rates

The interest rates for education loans can be high, and it may dissuade students from applying. However, with Vidyalakshmi Education Loan, the interest rates are kept at a minimum to help students avail a maximum benefit. Moreover, the scheme provides interest subsidy during the moratorium period, thus reducing the burden on the borrower.

3. Flexible Repayment Terms

Repayment terms for education loans can extend up to 15 years. It provides an ample amount of time, and the loan can be repaid in EMIs (Equated Monthly Installments) that suit the borrower’s needs.

4. No Collateral Security Required

Most loans require collateral or security to be pledged by the borrower. However, with Vidyalakshmi Education Loan, no collateral is required up to a loan amount of Rs. 7.5 lakhs.

Eligibility Criteria for Vidyalakshmi Education Loan

While the Vidyalakshmi Education Loan aims to provide a hassle-free loan experience to all applicants, some necessary eligibility criteria are to be met:

• The applicant should be an Indian citizen
• The applicant should have secured admission into a recognized institution
• The applicant should have a PAN card
• The applicant should have a co-borrower, who can be a parent, guardian, or any person of the family
• The maximum loan amount can vary according to the bank’s policies and the course’s duration

Conclusion

The Vidyalakshmi Education Loan is an excellent scheme for students seeking financial assistance for higher education. It offers various advantages such as competitive interest rates, flexible repayment terms, and no collateral security requirement. Moreover, the scheme aims to bring all banks under one platform to provide a hassle-free experience to applicants. With Vidyalakshmi Education Loan, students can further their education and achieve their goals without monetary constraints.