5 Government Education Loan Schemes to Study Abroad
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Government Education Loan: Recent trends indicate that the number of students who are going to study abroad is increasing every year. The Government of India offer financial support to Indian students who want to pursue higher education abroad.
A government education loan is financial aid provided by the Central or state government to students facing issues in financing their higher studies. Not only the central government but some state governments offer scholarships and student loans in India. Such government loans aim to help candidates who have the talent & potential to study abroad but are facing financial issues.
Here we have mentioned 5 popular government education loan schemes to provide financial assistance. Such central government schemes are helpful for economically weaker section students to study abroad or in India. The major difference between a government education loan and private financial aid is the rate of interest. In this blog, you will get to know about the government loan schemes, how to apply for student loan and everything you need to know about education loans. including the official websites of these schemes.
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Government Education Loan Schemes for Studying Abroad
Recent trends indicate that the number of students who are going to study abroad is increasing every year. There are two main reasons for this. First, students are becoming more aware of the opportunities available overseas. Second, financial help through student loans makes studying abroad more achievable.
The Government of India offer support to Indian students who want to pursue higher education abroad. Students can get either a government education loan or help with the interest on loans they take from banks. Here are 5 popular government loan schemes for students who are planning to study out of India.
- Vidya Lakshmi Portal Education Loan
- Gujarat Government Education Loan for Studying Abroad
- Education Loan Scheme of the NBCFDC
- Padho Pardesh Scheme
- Dr Ambedkar Central Sector Scheme
Apart from these popular student loans, you can explore the official websites of your state government. There you can get information about financial aid for students to study abroad.
Let us discuss the government student loans mentioned above.
Vidya Lakshmi Portal Education Loan
Vidya Lakshmi Portal or Vidya Laxmi Portal is the most recent government loan scheme for students. This portal is a single-window portal where students can explore, compare, and apply for educational loans and scholarships from anywhere and anytime. The interest rate of Vidya Lakshmi education loan starts at 8.40%.
There are 45 banks registered with Vidya Lakshmi Portal to offer 139 schemes of student loans. Indian students who want to study abroad can borrow INR 1.5 cr as an education loan to study abroad. Check out the quick information about Vidya Laxmi Portal.
- One-stop Portal for Education Loans: Apply for student loans from multiple banks (up to 3!) through a single platform
- Simplify the Process: Upload documents and track your application status easily through the Vidyalakshmi portal.
- Explore Scholarship Options: Access the National Scholarship Portal conveniently through Vidyalakshmi and find scholarship opportunities alongside loan options.
- Peace of Mind for Studying Abroad: The portal caters to both domestic and international studies. This makes it ideal for your study abroad journey.
Eligibility for Vidya Lakshmi Portal
A student needs to fulfil some eligibility to apply for a student loan through this vidyalaxmi portal.
- Candidates should be Indian.
- Applicants must have proof of admission to an international university or college (In the case of study abroad)
- Students must have passed their class 12th board exam from a recognized board of education.
Vidya Lakshmi Portal Official Website: https://www.vidyalakshmi.co.in/Students/index
Gujarat Government Education Loan for Studying Abroad
The Gujarat Government Education loan is helpful for those students of Gujarat state who want to study abroad but facing financial issues. Under this student loan, economically weaker students can get a 100% subsidy on the interest of the loan amount. This means you take the education loan for studying abroad and after completing your higher education repay the amount you borrowed.
After getting approval, eligible candidates can get up to INR 15 lakh at a 4% interest rate as a student loan to study abroad under this government education loan.
Gujarat Government Education Loan Eligibility
- Candidates should be a resident of Gujarat state.
- 60% score in 12th standard is mandatory.
- Annual family income should be below INR 6 lakhs.
- Acceptance letter from a college/university abroad.
Gujarat Government Education Loan Official Website: https://kcg.gujarat.gov.in/
Education Loan Scheme of the NBCFDC
The aim of the Education Loan Scheme offered by the NBCFDC (National Backward Classes Finance and Development Corporation to provide financial assistance to students from backward classes. Professional, technical, and vocational education courses are covered in this. Candidates need to show valid documents that they belong to a BPL (Below Poverty Line) family and that their family income is less than INR 3.00 Lakhs annually. Students can get up to 20 Lakhs as a student loan under this scheme at 4% interest rate. Female students will get a 0.5% concession.
NBCFDC Education Loan Scheme Eligibility
- Candidate should be a member of Backward Classes.
- Candidates must have passed the entrance test required to get admission to the university (India/Abroad).
- Family income should not be more than 3.00 Lakhs.
Official Website for NBCFDC Education Loan- https://www.nbcfdc.gov.in/
Dr Ambedkar Central Sector Scheme
The government of India offers this education loan with 100% interest subsidies to meritorious students of Minority communities. Under the Dr. Ambedkar Central Sector Scheme, students can pursue M.Phil and PhD courses in abroad. There are certain eligibility criteria that students need to fulfil to get this government education loan. The loan amount of Dr Ambedkar Central Sector scheme is not defined.
Eligibility Criteria
- Availability of caste certificates
- Family income should not be more than INR 3.0 lakhs.
- Offer Letter or acceptance letter from a college/ university abroad
- Must have scored at least 60% in 12th board exam.
Official Website: https://socialjustice.gov.in/schemes/11
Padho Pardesh Scheme
Another government education loan for students of minority groups (Muslims, Christians, Buddhists, Sikhs, and Parsis) to study abroad. The aim of this increase the employability of these students, the government offer them loans with subsidies on student loan interest rates. The government of India discontinued this scholarship program in the year 2022.
The government made it easier for all students (including minorities) to get education loans up to INR 7.5 lakh without needing collateral. However, the National Minorities Development & Finance Corporation (NMDFC) offers a student loan at lower interest rates.
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Benefits of Government Education Loan
Different student loan schemes launched by the government offer different benefits. Here are some well-known advantages of availing a government education loan under state or central government schemes.
- Minimal student loan interest rates.
- Interest subsidy.
- No need for collateral up to 7.5 Lakhs.
- Loan financing up to INR 1.5 crore is available.
- Easy loan approval process.
- Flexible repayment options.
- The moratorium period is 1 year after course completion.
Eligibility to Apply for Student Loan
Here are some basic eligibility criteria to get government loans for education.
- 60% or more in 12th board exam.
- Must have valid proof if applying to get minority or caste or EWS-based scholarships.
- An admission letter from the university is mandatory.
- Nationality of student.
Apart from these criteria, you may need to fulfil other eligibility depending on the scheme. You can check the relevant details on the official website of the scholarship scheme.
How to Apply for Government Education Loan?
To apply for a government education loan, the Indian government launched Vidya Lakshmi Portal. This portal is a single window for government loan schemes and scholarships for students. Eligible students can use this portal to apply for a student loan with relevant documents.
Required Documents to Apply for Student Loan
Here is the list of required documents for an education loan.
- Academic documents
- Two passport-sized photographs
- Photo ID proof
- Residence Proof
- Admission letter/Offer letter/CAS
- Collateral or Immovable Property Documents
That's all about the government education loan for students. You can check the detailed eligibility criteria for student loans to apply for it.
Note: Students, who wish to study abroad, may get in touch with India’s top-rated loan providers and apply for an education loan through Shiksha Study Abroad.
FAQs Related Government Education Loan
Q. Who is eligible for government education loan?
A. Here are some basic eligibility to apply for Government education loans in India
- You must be an Indian citizen
- Age should be between 18 to 35
- Good academic records are mandatory
- Good score in standardized tests is an advantage if applying for abroad studies.
- Family income should not be more than 6 to 8 lakhs
Q. What are some popular government education loan schemes?
A. Check out some popular government education loan schemes in India:
- Vidya Lakshmi Portal Education Loan
- Gujarat Government Education Loan for Studying Abroad
- Education Loan Scheme of the NBCFDC
- Padho Pardesh Scheme
- Dr Ambedkar Central Sector Scheme
Q: Â Is university of West of Scotland good for international students?
Q: Â What rank is Wolverhampton University in UK?
The University of Wolverhampton is one of the best universities in the United Kingdom. The university is consistently ranked among the best universities nationally and globally. For nearly 200 years, the University of Wolverhampton has been consistently providing a quality of education to students and producing highly skilled graduates. The national rankings of the University of Wolverhampton are given below:
| Ranking Body | Ranking |
|---|---|
| The Guardian University Guide 2024 | #101 |
| The Complete University Guide 2024 | #117 |
Q: Â Does the University of Essex require IELTS?
International students whose native language is not English must meet the University of Essex English language requirements to get admission. The university accepts IELTS scores as proof of English language proficiency. Mentioned below are the IELTS scores required for UG and PG admission at the university:
English Language Test | Score |
|---|---|
IELTS | Overall score of 5.5 to 8.0 with minimum of 5.5 to 7.5 in each section |
The university also accepts the score of other English language tests such as TOEFL and PTE for admission to undergraduate and graduate programs:
English Language Test | Score |
TOEFL iBT | Overall score of 72 to 114 |
PTE | Overall score of 59 to 84 with minimum of 59 to 80 in each section |
Also read: Required IELTS Score for UK Universities
Q: Â How can I get admission in the University of Manchester?
The application process at the University of Manchester may vary depending on the course and level of study. However, here is the application process for UG and PG courses:
The Undergraduate Application Process:
Step 1: You can apply through the UCAS common application portal.
Step 2: Go to the website and select the course you are interested in.
Step 3: Ensure you meet the Entry requirements (Academic qualifications, English proficiency, etc.
Step 4: Once you decide on the course, submit documents such as SOP, Transcripts and personal statements.
Check out: tips to improve your SOP.
Step 5: You can track the application's progress through your given credentials by UCAS.
Step 6: Once the applicant submits the application to UCAS, it forwards to the University, and the admission teams carefully analyse the application document.
Step 7: The university will send you an offer letter once selected. Hence keep checking your UCAS portal for your application status.
The Postgraduate application process:
Step 1: Select the postgraduate course you are interested in from the University of Manchester.\
Step 2: Ensure you meet the entry requirements for the chosen program, as they vary depending on the course.
Step 3: Complete the online application by providing your personal information.
Step 4: Upload the required documents, such as Academic transcripts and proof of English language proficiency ( TOEFL/ IELTS). experience in your fields and references (depending on the course). You also may require Two LORs depending on the course.
To make your admission better, check out the following: How Admission Officers Evaluate your application.
Step 5: If your application is successful, you will receive an offer from the University of Manchester.
Q: Â What is University of Wales, Trinity Saint famous for?
University of Wales, Trinity Saint (UWTSD) was founded in 2010, is a public institution for higher education and research at multiple locations. It was set up under the 1828 royal charter of Lampeter, the institution was the result of the merger between Trinity University College and the University of Wales. The institution merged with the Swansea Metropolitan University in 2013.
- Top Ranked University: The UWTSD is not ranked by any major ranking body, however as per the university ranking given on the official website of the university, it is ranked among:
- #1st in Wales and UK Top 5 Film Production and Photography
- #1st in Wales and UK Top 5 Fashion and Textiles
- #1st in Wales and UK Top 20 Graphic Design
- #1st in Wales and UK Top 5 Education
- #1st in Wales and UK Top 20 Sports Science
- #1st in Wales and UK Top 20 Mechanical Engineering
- #1st in Wales for Fine Arts
- Variety of Courses: UWTSD offers more than 300 programs at various levels including undergraduate, postgraduate degrees as well as multiple online courses.
- Highly distinguished and learned faculties: the faculty at UWTSD is highly learned and distinguished which enables students to be the best in their field of study.
- High Placements: According to Graduate Outcome data 2019-2020 quoted by the UWTSD, more than 95% of its graduates were found to be employed within 15 Months of graduation. The average salary of a graduate is not explicitly released by UWTSD, however, as per some unofficial sources the average salary of the graduates of UWTSD is approximately INR 30-35L. with the highest salary being reported as high as INR 66.5L for jobs in Financial Services.
Q: Â Is Hertfordshire University hard to get into?
With a 70% acceptance rate, the University of Hertfordshire is not hard to get into and follows easy selection criteria during admissions. This does not mean the university accepts all the students applying for different programs. The selection is based on academic performance, English language requirements, references, and many more. Some of the programs at Hertfordshire even demand an experience of 4-5 years. Students must fulfill the eligibility criteria to enroll in any programme at Hertfordshire University. In addition, students with average performance can showcase their relevant experience or extracurricular activities participation to increase their selection probability.
Q: Â How much IELTS score is required for Hertfordshire University?
International students coming from diverse backgrounds must prove their English language proficiency by submitting the scores of IELTS, PTE, and Duolingo at Hertfordshire University. The university demands an IELTS score of 6 from the students. Along with the IELTS scores, students can refer to the table below for all the required English proficiency score:
English language test | Minimum Score required UG | Minimum Score required PG |
|---|---|---|
6 or above | 6 or above | |
59 or above | 58 or above | |
105 or above | 120 or above |
Q: Â What is the ranking of NTU UK in terms of employability?
According to Uni Compare rankings 2024, NTU has been placed at #1 in the UK for employability. In addition to this, as per the details available on the web, some of the top companies where NTU UK alumni work are Deloitte, Microsoft, Tesco, Turner & Townsend, The Access Group, etc. Some of the industries where the alumni work are Operations, Business Development, Arts and Design, Sales, Marketing, IT, Engineering, Finance, Media & Communication, etc.
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The University of the West of Scotland has five modern and diverse campuses in United Kingdom. The University has welcomed more than 3,000 international students which are representing 1/3 of the globe. They also have 130 European partners who are actively in global study and exchange options through the Commonwealth universities programmes. The University also offers study abroad opportunities for UWS who are eligible for the same and also have more than 20 transnational education partners worldwide which helps them deliver UWS Bachelors and Masters Degrees around the world.