West Bengal Students Credit Card Scheme: Get Rs 10 lakh! Know eligibility, interest rate, how to apply, application process, repayment and more

West Bengal Student Credit Card Scheme: The West Bengal government in order to facilitate the students and encourage them to pursue higher education, has introduced the student credit card scheme. This credit card has an available maximum limit of Rs 10 lakh at a nominal rate of 4 per cent simple interest per annum. This initiative is to facilitate the students to avail the necessary fund for their studies. 

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Details of the West Bengal student credit card scheme

West Bengal Chief Minister Mamata Banerjee announced this 'Student Credit Card Scheme' yesterday, June 30, 2021. Banerjee tweeted from her official Twitter handle, "I am delighted to announce that GoWB has launched the #StudentCreditCard today. To make the youth of Bengal self-reliant, the Scheme shall provide a loan of up to Rs10 Lakh with an annual simple interest." 

I am delighted to announce that GoWB has launched the #StudentCreditCard today.

To make the youth of Bengal self-reliant, the Scheme shall provide a loan of up to ₹10 Lakh with an annual simple interest. (1/2)

— Mamata Banerjee (@MamataOfficial) June 30, 2021

She further added, "Moreover, the Scheme will benefit all students residing in West Bengal who are enrolled in Higher Educational Institutions & Competitive Examinations Coaching Centres. GoWB is working relentlessly to achieve all the promises of my 10 Ongikars."

According to the gazette notification released by the West Bengal government on June 30, 2021, "The Student Credit Card Scheme outlined herein aims at providing financial support/assistance by the State Government at a nominal interest rate (with suitable guarantees to the bank) to the students residing in West Bengal for at least 10 years and pursuing education from class 10 onwards, or studying in various coaching institutes for appearing in different competitive examinations like Engineering/ Medical/ Law, IAS, IPS, WBCS, SSC etc., UPSC, PSC, SSC etc." 

The scheme will also be applicable for the students pursuing Undergraduate, Postgraduate courses including professional degree, Diploma courses and research at doctoral/ post-doctoral level or other similar courses in schools, madrasahs, colleges, universities and other institutes like IITs, IIMs, IIESTs ISIs, NLUs, AIIMSs, NITs, XLRI, BITS, SPA, NID, IISc, IIFTs, ICFAI Business School and others, within or outside the country, who are unable to pursue higher education due to financial constraints.

The gazette notification adds that following the fulfilment of the terms and conditions, a maximum amount of Rs 10 lakh at a rate of 4 per cent simple interest can be obtained from State Cooperative Banks and its affiliated Central Cooperative Banks and District Central Cooperative Banks in addition to the public sector and private sector banks operating in the state of West Bengal. 

Eligibility and application process

The student seeking loan under the scheme should be an Indian national and resident of West Bengal for the last the 10 years. A self-declaration by the student as appended in the application form will be accepted. In order to avail the scheme, an aspiring student will have to apply online through a web-based portal to be maintained by the Higher Education Department through the respective school/ madrasah/ college/ university/ institute in which he has got enrolled. The portal will have dashboard for each such student which will be accessible to the Institutes concerned, the Department and the bank. The interested students should not be aged more than 40 years at the time of applying for loan.

The student applied for the credit card will link preferably their Aadhaar card the Class 10 registration number with the concerned portal while applying to the Higher Education Department through their respective institution.

Repayment

The repayment period for the loan will be 15 years for any loan availed under this Credit Card including the Moratorium/ repayment holiday. The student or his parent/ legal guardian can repay the loan amount at any time before the stipulated period of repayment and in case of early repayment there shall be no penalty or processing cost charged by the bank.

Furthermore, 1 per cent interest concession will be provided to the borrower if the interest is fully serviced during the study period.