Gujarat Government’s Study Abroad Loan Scheme

N/A

N/A

• Applicants must have received 60% or more marks in their Class 12.
• Students must belong to the EWS category with an annual family income of ₹6,00,000 or less from all sources. 
• Students who have taken an education loan from a scheduled bank on or after 04th July 2017 to study in India or abroad are eligible for this scheme.
• Applicants must have passed the Higher Secondary Examination conducted by the Board of Secondary Education, Gujarat or the Central Board of Secondary Education and be enrolled in a recognised university abroad.

Note:-

• All courses of higher education, including graduate, postgraduate, diploma, and professional programs.
• Applicants who have availed the benefits of a Central Government or State Government education loan subsidy scheme or any other scholarship scheme are ineligible for this scheme.
• If a student is studying abroad, a Power of Attorney may be granted to a person authorised to sign required documents on behalf of the applicant at the bank. Only the student's father or mother can be designated as the Power of Attorney. Authorisation granted to any other person will not be accepted.
• Interest subsidy under this scheme will not be available to students who have left their studies midway or been expelled from the institution due to any disciplinary issue.

For the Scheduled Bank List, CLICK HERE.

The subsidy is available for up to ₹10,00,000 only. If the applicant has taken a loan exceeding ₹10,00,000, the interest subsidy will be provided only on the first ₹10,00,000 of the loan. The applicant is responsible for paying the interest on the remaining loan amount.

Under this scheme, the total interest on the education loan up to ₹10,00,000  will be deposited into the applicant's bank loan account. The interest rate will be as per RBI guidelines. No other charges will be paid to the bank.

Moratorium Period:-

• Under this Government of Gujarat scheme, the interest subsidy on the education loan will be payable only during the moratorium period i.e. the duration of the course plus 1 year. After the moratorium ends, interest payments on the remaining loan amount will not be covered by this scheme.
• Under this scheme, the loan must be taken from a scheduled bank only.
• Interest will be disbursed annually to the loan account based on the student's information provided in the registration form.
• The interest subsidy will be terminated if the student drops out or discontinues their studies, or if the loan is canceled by the bank.
• The interest subsidy will automatically end even if the loan is repaid in full.
• Applicants who have availed benefits from Central or State Government education loan subsidy schemes or any other scholarship are ineligible for this scheme (to avoid duplication of benefits).
• The interest subsidy must be credited to the applicant's loan account annually.

Applicants must complete the application form on the KCG website and submit the acknowledgement receipt along with the required documents to the scheduled bank. Subsequently, the scheduled bank must send the necessary endorsement, bank loan, and interest details to the KCG office.

Eligible applicants can follow these steps to apply:-
Step 1: Click on the 'Apply Now' button below.
Step 2: Click on the 'Register' button on the right-hand side of the dashboard and fill in the required details to 'Register' (Note:- If already registered, log in using the registered email ID.) 
Step 3: Fill in the required details and submit.

Note:- Offline applications will not be accepted.

• Application form for the loan
• Birth certificate
• Passport-sized photograph
• Copy of the loan application form
• Copy of the loan agreement
• Copy of Aadhaar card
• Copy of visa/visa approval letter
• Proof of residence such as a Passport, Driving license, Aadhaar card, Ration card, PAN card, Electricity bill, or Voter ID card, etc.
• Family income proof such as Income tax returns, property proof, etc.
• Sanctioned letter authorised by the bank (in KCG format)*
• Copy of certified financial statements duly certified by a Magistrate or Tehsildar
• Copy of the first page of the bank passbook (from which the loan was taken)
• Copies of Class 10 and 12 marksheets and certificates 
• Copies of college/university documents
• Copies of fee receipts from the institute/university
• Acceptance letter from a university abroad
• Self-declaration certificate stating no other scheme benefits have been taken by the candidate (in KCG format)*
• Interest calculation sheet

*Knowledge Consortium of Gujarat (KCG)

Format for required Documents:-

• Self Declaration for Non-IT returns
• Self Declaration of No Other Scheme Benefit Avail
• Interest Calculation Sheet
• Interest Calculation Sheet Filling Example
• Sanction Letter Format
• Disbursement Letter Format

Note:- All the documents must be submitted in the prescribed format.

For Document Checklist, CLICK HERE.

The candidates will be selected based on the fulfilment of the eligibility criteria.

Open throughout the year.