Minority Education Loan Scheme in India

The rising cost of education is one of the biggest roadblocks for students dreaming of pursuing education further. However, the government of India understands the same and offers multiple minority education loan scheme in India. These schemes offer necessary funds to financially support students from minority backgrounds with low-interest loans and easy repayment options. Keep reading to explore the eligibility criteria, benefits, and application process, and more about minority loan schemes by the government of India. 

Features of Minority Education Loan Scheme in India

From fulfilling educational dreams to reducing financial strain, minority education loans in India offer a plethora of benefits. Easing financial burden and easy loan repayment are some of the advantages of minority education loan schemes in India. Let us understand the features of minority education scheme in India from the table below-

Important Terms Related to Government Education Loan Schemes under NMDFC

Let us understand important terms related to NMDFC Education Loan Schemes:

If you are wondering about the different loan schemes and scholarships offered by the Government of India, then watch the video below -

Types of Government Education Loan Schemes Under NMDFC

Minority Education Loan Scheme in India: Padho Pardesh Subsidy Scheme (Discontinued) 

The Ministry of Minority Affairs (MoMA) has discontinued the Padho Pardesh Subsidy scheme which was meant to subsidize student loans. It was beneficial to minority students who want to pursue higher education abroad including graduate, master’s, or doctoral degrees.

The most beneficial aspect of this government loan scheme was that all the interest would be borne by the government of India during the moratorium period.

How to Apply for the NMDFC Minority Education Scheme in India?

You need to visit the nearest state channelizing agency(SCA) with the required documents. SCAs are nominated by the state government and banking partners.

Eligibility Criteria of Minority Education Loan Scheme in India

To apply for the minority education loan scheme in India applicants must meet the eligibility criteria mentioned below -

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  Applicant must be a citizen of India.
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  Applicant must be from a minority community.
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  Applicant’s annual income must not exceed INR 6 Lakh.
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  The applicant’s family annual income must not exceed INR 3 Lakh (for both rural and urban locations).
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  Applicant must have an admission letter for Master's, M.Phil., or Ph.D. program at an international institution.
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  Applicant must not have any other ongoing loan application or approved loan under his/her name.
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  Special preference for female applicants.
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  Applicant’s academics, extracurriculars, and other accomplishments are considered favourable.

Documents Required for Minority Education Loan Scheme in India

Before applying to the minority education loan scheme in India, submit the documents listed below -

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  KYC documents: Aadhar card, PAN card, Passbook, etc.
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  Identification documents: Voter ID card, ration card, passport, utility bill (like electricity bill or water bill), etc.
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  Photos: 2 passport size latest photographs
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  If the applicant is from the SC/ST category, then the legal authority's certificate (SDO or ADM) is required
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  Admission letter from a recognized university with a properly defined fee structure and other expenses.
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  A hard copy of the online form that was submitted on the minority education loan website
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  10th and 12th mark sheet
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  Semester-wise graduation certificates
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  Expenses breakdown of the entire course
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  Income certificates which are issued by the municipality's chairman, the Block Development Officer (BDO), the Pradhan, the Sabhapati, or any other gazetted officer
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  Date of birth certificate.
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  Certificate from the Indian embassy confirming admission to an international university

In today’s world, access to higher education is of utmost importance for growth and financial stability. Due to a lack of resources, financial restrictions, and other disadvantages, minority communities find it extremely difficult to pursue higher education in prestigious institutions. To help bridge the gap, minority loan schemes and government loan schemes play a vital role in providing the necessary access to funds.

These funds empower minority students to unlock their true potential by breaking financial barriers to academic diversity and experiences. With diverse ideas & experiences, minority students enrich and diversify the workforce of the country thus promoting creativity and equality.

Benefits of Minority Education Loan Scheme in India

Minority education loan scheme in India offer financial assistance and relief to students who are from minority sections of the society and wish to pursue higher education at prestigious institutions. Following are the major benefits:

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  Favorable repayment options.
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  Education loan for institutes in India and abroad.
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  Educational empowerment, workforce development, and diversification.

The entire process of loan application to approval has been streamlined at Gyandhan, and you do not have to worry about anything. Reach us and one of our education loan counselors will be in touch with you who will help you with every aspect of your education loan. Not only this, there are data-backed tools available, that can help you with various processes related to loan application and college admission.

Frequently Asked Questions