PM Vidyalaxmi Scheme

The following are the key highlights of the PM Vidyalakshmi Yojana:

The interest rate for Pradhan Mantri Vidyalakshmi Yojana is capped at the bank’s Externally Benchmarked Lending Rate (EBLR) plus 0.5%. Up to 1% additional interest concession is also provided if interest is paid during the study and moratorium period. There is 3% interest subvention available for applicants having an annual family income of up to Rs. 8 Lakhs. The amount of subvention is credited to the applicant student’s e-vucher for Programmable Central Bank Digital Currency (CBDC) wallet.

• PM Vidya Laxmi Yojana is a special collateral-free and guarantor-free education loan product for students admitted to Quality Higher Educational Institutions (QHEIs).
• The loan amount is dependent on the course fee and other related expenses like mess charges, hostel fee, laptop, living expenses, and other refundable and non-refundable fees. 
• There is no upper limit on the loan amount.
• 75% credit guarantee is provided by the Government of India for a loan amount up to Rs. 7,50,000, irrespective of family income.
• 3% interest subvention on loans up to Rs. 10 Lakhs for students with annual family income up to Rs. 8 Lakhs during the moratorium period (including course period plus one year).
• Full interest subvention for students with annual family income of up to Rs. 4,50,000 under PM-USP CSIS for technical/ professional courses.
• Interest rate limited to individual bank's Externally Benchmarked Lending Rate (EBLR) + 0.5%.
• The amount of interest subvention will be credited to the e-voucher/ programmable Central Bank Digital Currency (CBDC) wallet of each student.
• Additional interest concession of up to 1% is available if interest is serviced during the study and moratorium period.
• Repayment tenure is up to 15 years, excluding the moratorium period.

Below is the list of participating banks in PM Vidyalaxmi Scheme:

Eligibility Criteria for Students

• The applicant must be an Indian citizen aged between 18 to 23 years.
• The applicant must get merit-based admission to any of the 860 designated QHEIs in India.
• The applicant must not get admission through the management or a similar quota.
• The applicant should be pursuing a technical or professional course.
• The applicant should have passed the 12th (higher secondary) and 10th (secondary) board examinations from a Government school.
• The annual family income of the applicant must be up to Rs. 8 Lakhs to qualify for 3% interest subvention.
• The applicant must not be getting any other scholarship from the Central/State Government or an interest subvention scheme or fee reimbursement.
• The applicant must not discontinue their course midstream or be expelled from their institution on disciplinary/ academic grounds.
• The applicant must maintain good academic performance to get interest subvention from the second year onwards.
• The applicant can get interest subvention and credit guarantee benefits only once, for an undergraduate or postgraduate or integrated course.

Eligibility Criteria for Quality Higher Education Institutions (QHEIs)

The following institutions are eligible for the scheme:

• Top 100 ranked Higher Education Institutions (HEIs) in the overall/ category-specific and/ or domain-specific rankings in the latest list of National Institutional Ranking Framework (NIRF) published by the Ministry of Education.
• The top 200-ranked HEIs under the governance of State/ Union Territory governments in the latest NIRF list published by the Ministry of Education.
• All remaining HEIs under the Government of India’s governance.
• Indian campuses of foreign education institutions/ foreign campuses of Indian education institutions/ foreign education institutions are not covered.

You will need the following documents to apply for the PM Vidyalaxmi Scheme:

• PAN card
• Aadhaar card
• Address proof
• Self-attested previous qualifying mark sheets 
• Entrance exam result
• Offer letter received from the institution along with the fee structure
• Family income certificate from the designated public authority of the State

*If the QHEI has already accepted some of the above-mentioned documents during admission, the applicant student should submit a certificate from the QHEI for the same (proforma given in Annexure 6). In that case, only the remaining documents need to be submitted by the students to the bank/ portal.

The applicant will have to register for the "Pradhan Mantri Vidyalaxmi (PM-vidyalaxmi) Scheme” first on their official website and then follow the steps given below to apply for the scheme:

• Visit the Official Website of the PM Vidyalaxmi Scheme
• Click "Login" > "Student Login" given in the top ribbon.
• Provide your Login Details on the next screen, i.e., the User ID (your registered email) and Password (created by you during the registration process).
• Fill in the Captcha code given on the screen, agree to the "Terms & Privacy", and then click "Login".
• Provide the OTP received on your registered mobile number/ email ID.
• Click "Apply for Education Loan" in the "Student's Homepage" to get redirected to the online application form of the scheme.
• Fill in all the mandatory fields in the application form and upload all the required documents in the specified format and size.
• Select the preferred banking partner and branch from the dropdown menu.
• Review all the provided information and the uploaded documents carefully. Make corrections if required.
• Acknowledge and agree to the given terms and conditions and privacy policy.
• Submit your application by clicking "Final Submit".
• You will receive a confirmation message.