Government Education Loans to Study in the USA

Studying in the USA is a dream and to live that dream there are certain ways which can ease the process. Education loan is one such way to ease out the study abroad process. To avoid any kind of financial crunch and instability education Loan serves the purpose. If you can’t afford higher education in your dream country or dream university, then study abroad scholarships or an education loan to study abroad can help you out in pursuing quality education in your dream university. 

The Indian government extended its hands to help the students in pursuing their higher education in the USA. It introduced a number of education loans and interest subsidy schemes to motivate the students to study further. The easily accessible and affordable education loan is easily available on the website of the Indian government. One needs to fulfil the required eligibility criteria and apply on the official website of the Indian government i.e., Vidya Lakshmi. In this blog, we will explore education loans provided by the government of India, their benefits, eligibility criteria, and much more.

3 Best Government Education Loans to Study in the USA

Although, the government of India is offering various education loans to motivate students to higher education. Some of the best education loans are mentioned below.

Vidya Lakshmi Education Loan

Under the Vidya Lakshmi education loan, the government offers to study in the USA with a loan amount of up to 30 lakhs. The student needs to complete the 12th class from a recognised board to avail this loan. A letter of acceptance is also required to apply for this loan. Also, an applicant should be a citizen of India to be an applicant for this loan. The loan is offered to students who are planning higher education including undergraduate programs, postgraduate programs, and doctoral programs.

Also Read: Types of Education Loans for Indian Students

Dr Ambedkar Central Sector Scheme

Under this scheme of education loans, the government is providing 100% subsidy to minority students. The caste certificate is mandatory to apply for an education loan under Dr Ambedkar Central Sector Scheme. Before applying for an education loan under this scheme you should be aware of the eligibility criteria. An applicant must have scored at least 60% from a recognised board or institution. Also, a caste certificate is mandatory to apply for an education loan under this scheme. Also, note that this scheme can be availed only once. Only post-graduation courses and Doctoral programs are covered under this scheme. 

Also Read: 5 Things to Keep in Mind to Apply for an Education Loan

Education Scheme Loan of NBCFDC

This education loan scheme is specifically for people belonging to the below-poverty line (BPL) category. The loan amount offered under this scheme is up to 20 lakhs. The best part is it can be availed for any kind of higher education program. A caste certificate is mandatory to avail of this scheme. Also, excellent academic performance is required with at least 70% marks in 12th standard from a recognised board or institution. An applicant must have an income certificate with less than 3.3 lakhs income annually.

Eligibility Criteria to Avail Education Loan to Study in the USA

One needs to fulfil the eligibility requirements. Always make sure to check the eligibility requirements before applying for the loan.

• One needs to be a citizen of India to apply for the loan.
• The applicant should be 18+ years of age.
• Technical or professional courses get priority for loan applications.
• The student must have an acceptance letter from a reputed authorised university in the USA.
• Excellent academic record required.
• The annual family income should be below 3 lakh.

Documents Required to Apply for an Educational Loan to Study in the USA

There are several documents required to apply for an education loan in the USA. Some of the basic requirements include

• Valid and government-issued identity proof.
• Residence proof of an applicant.
• Marksheets and provisional certificates of the applicant.
• GRE, GMAT, TOEFL, and IELTS scorecard, if applicable.
• Letter of acceptance from a recognized university.
• Income certificate of the applicant.
• Property title deed and NOC for collateral documentation.

Expenses Covered Under an Education Loan to Study in the USA

The expenses covered under the loans may vary as per the choice of the scheme. Most of the schemes covered tuition fees. But these days there are loans that cover accommodation charges, lodging expenses, examination fees, etc. The basic expenses covered in almost all loan schemes are

• Admission fees and tuition fees
• Examination fees
• Books, equipment, instruments, laboratory fees
• Travel expenses including boarding and lodging.
• Insurance premium, if applicable
• Other expenses including thesis, study tour, etc.

Also Read: List of Top International Student Loans

FAQs

You just need to fulfil the eligibility criteria and essential requirements to avail an education loan. It is advisable to approach government education loans or interest subsidy schemes once you get approval from your dream university. As soon as you get the letter of acceptance from the university, the approval of a loan under any governmental scheme will be streamlined immediately. Also, be aware of all the news and amendments of the governmental schemes. 

To know more about the education loans offered by the government of India, the best bank accounts for students, forex and banking experience for global students or international money transfers, reach out to our experts at 1800572126 to help ease your study abroad experience. Follow our social media handles on Twitter, LinkedIn and Instagram.