The Vidya Lakshmi Portal education loan is an initiative by the Government of India to simplify the education loan process for students. 45 Indian banks are registered on the Vidya Lakshmi Portal, which offers more than 130 education loan schemes. Financing higher education can be a challenge for many students, but the Vidya Lakshmi Education Loan Portal simplifies the process by providing a single platform to apply for education loans from multiple banks.
Under Vidya Lakshmi Portal education loan, the applicant can fill out the common application form and apply with a maximum of 3 banks at a time. The Lakshmi Education Loan system enables students to access financial aid from leading banks and financial institutions in India. In this blog, we will know about Vidya Lakshmi portal education loan in detail along with all the important factors and queries related to the portal which will help in securing the education loan with ease.
Table of contents
- What is a Vidya Lakshmi Portal Education Loan?
- Highlights of Vidya Lakshmi Portal Education Loan
- Interest Rates Offered Under Vidya Lakshmi Education Loan
- Types of Education Loans Available on Vidya Lakshmi Portal
- Documents Required to Apply on Vidya Lakshmi Portal
- Features of Vidya Lakshmi Portal
- Eligibility Criteria of Vidya Lakshmi Education Loan
- Mistakes to Avoid on the Vidya Lakshmi Portal
- How to Register on Vidya Lakshmi Portal?
- How to Apply for Education Loan on the Vidya Lakshmi Portal?
- Benefits of Vidya Lakshmi Portal Education Loan
- Why was Vidya Lakshmi Education Loan Portal Started?
- FAQs
What is a Vidya Lakshmi Portal Education Loan?
The Vidya Lakshmi Portal is created and managed by NSDL e-Governance Infrastructure Limited. The portal provides comprehensive information about educational loans, including eligibility criteria, interest rates, and repayment options. It serves as a one-stop platform where students can explore various education loan schemes offered by multiple banks.
Vidya Lakshmi is also a scholarship portal for information, allowing students to explore funding options beyond loans. The links to the National Scholarship Platform can also be accessed on the portal. Students can use the Vidya Lakshmi platform to view, apply for, and monitor education loan applications at any bank, at any time, and from anywhere.
Highlights of Vidya Lakshmi Portal Education Loan
With a common educational loan application, students can submit a single form to multiple banks, reducing paperwork and making the process more efficient. Check out a few highlights of education loan from Vidya Lakshmi portal:
- The portal is designed to simplify the process of availing education loans. The Vidya Lakshmi education loan interest rate is low and suitable for students of every economic background.
- The Vidya Lakshmi portal is a platform for students looking for an education loan.
- 15 working days is the tentative time for sanctioning of education loan.
- The Department of Financial Services (Ministry of Finance), the Department of Higher Education (Ministry of Education), and the Indian Banks Association(IBA) collaborated on the creation of this portal.
Interest Rates Offered Under Vidya Lakshmi Education Loan
The Vidya Lakshmi education loan offers interest rates starting at 8.40%. It enables students to obtain up to INR 4 lakh in funding without requiring collateral, with repayment periods extending up to 15 years. However, please note that the education loan interest rate will depend on the bank and education loan scheme that you choose to apply for.
Interest rates on Vidya Lakshmi portal education loan start from 8.40% for a tenure of 15 years. The Vidya Lakshmi portal is highly valuable for students as they can get education loans up to INR 1.5 crores. Also, through the Vidya Lakshmi Portal, students can apply to multiple banks using a single application form, saving time and effort and giving enough opportunities to check interest rates on different loans.
Types of Education Loans Available on Vidya Lakshmi Portal
The Vidya Lakshmi Portal offers a range of education loan options to cater to different student needs, from undergraduate studies to postgraduate and professional courses. Following table carry a detailed description of types of education loan available on Vidya Lakshmi portal along with loan amount and eligibility required to get the loan:
| Loan Type | Description | Loan Amount | Eligibility |
|---|---|---|---|
| Undergraduate Education Loans | Loans for students pursuing their first degree (Bachelor’s) in various fields. | Covers tuition, accommodation, books, and travel expenses. | Admission confirmation to a recognized institution. |
| Postgraduate Education Loans | Loans for students pursuing advanced studies, such as a Master’s or Ph.D. | Typically higher amounts than undergraduate loans. | Admission to an approved postgraduate course; some banks may have age limits. |
| Professional/Technical Course Loans | Loans for professional courses like engineering, medicine, and law. | Higher amounts for courses with specialized requirements. | Admission in a professional or technical course from an accredited institution. |
| Foreign Education Loans | Loans for students studying abroad, covering tuition, travel, living expenses, etc. | Varies based on the country, institution, and course. | Offer letter from a foreign institution; co-borrowers or guarantors may be required. |
| Vocational/Skill Development Loans | Loans for short-term diploma, certification, or vocational courses aimed at skill development. | Generally lower amounts focused on covering course fees. | Enrollment in an approved skill development program. |
| Bridge or Top-Up Loans | Additional funding for existing education loan borrowers who need extra financial support. | Depends on specific requirements and bank’s terms. | Existing education loan borrowers with a satisfactory repayment track record. |
Check to read more on how much time does the Vidya Lakshmi portal take to sanction loan.
Documents Required to Apply on Vidya Lakshmi Portal
The Vidya Lakshmi Portal Education Loan application requires essential documents to get the loan quickly. These documents are to verify your eligibility, identity, and course of study. Below is a comprehensive list of documents needed for a smooth application process:
| Document Type | Details Required |
|---|---|
| Proof of Identity | Aadhaar Card, Voter ID, Passport, or Driving License. |
| Proof of Residence | Utility Bill, Passport, Aadhaar Card, or Rent Agreement. |
| Academic Records | Mark sheets of previous academic years, such as 10th, 12th, and undergraduate transcripts (if applicable). |
| Admission Confirmation | Offer letter from the institution where you are enrolled or have been accepted. |
| Fee Structure of Course | Official document detailing tuition and other course-related expenses. |
| Income Proof of Co-Applicant | Salary slips, bank statements, or income tax returns of a parent or guardian. |
| Bank Account Statements | Recent bank statements of the co-applicant (usually last 3-6 months). |
| Passport-Sized Photographs | Recent photos as per application requirements. |
| PAN Card (if applicable) | PAN card of the applicant and co-applicant for financial verification. |
| Co-Applicant or Guarantor Agreement | Document confirming the financial backing of a guarantor for the loan if required by the bank. |
Features of Vidya Lakshmi Portal
The portal has an easy application process. Students have to simply register, search for the education loan scheme, fill in the application form, upload documents, and submit. This is possible due to the multiple features of the Vidya Lakshmi Portal. Vidya Lakshmi is integrated with linkages to national scholarship programs, helping students access both loans and grants.
Multiple Banks on a Single Platform
- The Vidya Lakshmi platform, which offers students a wide range of loan lenders to select from, has several banks associated with it.
- 45 banks have enrolled with the platform as of right now.
- Axis Bank, Bank of Baroda, Central Bank of India, HDFC Bank, IDBI Bank, Syndicate Bank, State Bank of India, Canara Bank, Bank of India, IOB, J&K Bank, GP Parsik Bank, and other financial institutions are a few examples of registered banks.
- By using the common educational loan application, students can submit a single form to multiple banks, streamlining the loan process.
Security
- The Vidya Lakshmi portal is maintained by NSDL e-Governance Infrastructure Limited.
- The Vidya Lakshmi portal is entirely safe and trustworthy since it was developed with the approval of the Ministry of Finance, the Indian Banks Association (IBA), and the Ministry of Education.
- Applying for education loans with it is secure. Your personal information and data is also kept confidential.
- The portal facilitates easy tracking of education loan applications, ensuring transparency and security in the approval process.
Easy Application Process
- Applying for a loan using this platform is simple for students.
- Banks promptly update loan status information.
- As a result, checking the status of a loan is simple and you may skip the bank lines.
- You can also check the details of the on-hold status of the loan application on the portal.
- The platform offers a user-friendly interface where students can search for educational loans based on their eligibility and requirements.
How Can I Know My Loan Application Status?
Banks can upload a progress report of a candidate’s loan application to the Vidya Lakshmi portal dashboard, and candidates can view their application status. This function is beneficial for students who live in rural areas where commuting is difficult. If there is a problem with the loan application, the bank will notice it in the ‘Remarks’ column on the ‘Application Status page.’
Processing Time of Education Loan from Vidya Lakshmi
Banks usually take 15 days to review and authorize a loan application after receiving a properly completed application form and supporting documentation. Again, the time it takes for a loan to be approved varies by bank. The pace at which a candidate’s application is approved is determined by the bank’s processing time.
Eligibility Criteria of Vidya Lakshmi Education Loan
The eligibility criteria for education loan varies depending on the bank and the program you apply to. Students are required to check the criteria with each bank. However, some of the general Vidya Lakshmi Portal Education Loan Eigibility Criteria:
Here’s a table summarizing the eligibility criteria for Vidya Lakshmi Education Loan:
| Eligibility Criteria | Details |
|---|---|
| Nationality | Applicant must be an Indian citizen. |
| Educational Qualification | Must have secured admission to a recognized higher education course in India or abroad. Admission should be through merit-based selection or an entrance exam. |
| Eligible Courses | Undergraduate, postgraduate, doctoral programs, and professional courses like engineering, medical, management, law, etc. Diploma and certification courses from recognized institutions are also eligible. |
| Age Limit | Some banks may require the applicant to be between 18 to 35 years. |
| Co-applicant Requirement | A parent or legal guardian is required as a co-applicant. Higher loan amounts may require an additional guarantor. |
| Loan Amount & Collateral | Loans up to ₹4 lakh generally do not require collateral. Loans above ₹7.5 lakh may require collateral based on the bank’s policy. |
| Academic Performance | Some banks may require a minimum percentage in previous academic records. Good academic performance may improve loan approval chances. |
| Income Criteria | Banks may assess the financial stability of the co-applicant. Proof of income may be required for higher loan amounts. |
| Approved Banks & Institutions | The applicant must apply only to banks registered on the Vidya Lakshmi Portal. |
| Loan Repayment Terms | Repayment starts after course completion, with a moratorium period of 6 months to 1 year before EMIs begin. |
Also Read: Wondering about the ROI on education loans on the portal? Check out the details If Vidya Lakshmi Loan is Interest-free or not, in our blog.
Mistakes to Avoid on the Vidya Lakshmi Portal
Nothing can be modified in a Vidya Lakshmi Portal application once it has been developed. At the same time, new or duplicate accounts on VLP are not allowed, as the portal is not like a social media site, and we need a PAN card number and an Aadhar number to be connected to an account. As a consequence, any attempt to construct a new application would result in an error.
Mentioned below are important points to remember in order to not make any mistakes:
- Entering the correct university or country
- Selecting correct bank
- Selecting the correct branch of the bank
How to Register on Vidya Lakshmi Portal?
The next step of the process is to register. Before registering, know that ‘if it is mandatory to register for the vidya lakshmi portal‘ or not. All the process in Vidya Lakshmi portal can be done by filling out a single application form known as the Common Education Loan Application Form (CELAF). CELAF streamlines the process and saves time of education loan procession via Vidya Lakshmi portal.
The Vidya Lakshmi education loan registration process is to create an account on the login portal. Check out the steps on how to register in the Vidya Lakshmi portal:
- On the Vidya Lakshmi login portal, create your login ID and password.
- A confirmation link will be sent to your registered e-mail address once you’ve done so. In your inbox, look for a message from the Vidya Lakshmi portal. Click on the sent link.
- You will be led to the Vidya Lakshmi login page after clicking the confirmation link. On the login tab, you must re-enter your credentials.
Also Read: If you are planning to pursue an undergraduate course in Germany and want to take an education loan, check this blog on How To Get an Education Loan without Collateral in Germany.
How to Apply for Education Loan on the Vidya Lakshmi Portal?
Students can fill up the Common Education Loan Application Form (CELAF) on the Vidya Lakshmi Portal to apply for loans from multiple banks. Various educational loan schemes are available on the Vidya Lakshmi Portal, catering to students from different financial backgrounds. To apply for an education loan through the Vidya Lakshmi portal, you need to follow the steps mentioned below:
Step 1: Search for loan schemes:
- Select the ‘Search for loan schemes’ choice to look for education loan schemes. As shown in the picture, this tab is available on the dashboard.
- On the topmost area of the website, once you’ve arrived at the loan search page, you’ll see various tabs.
- A dialogue box in the leftmost corner will provide you with three choices.
1. Select the country of study
2. Select course
3. Select the loan amount required- For example, if you enter the following details,
- Location of Study: Abroad
- Course: Post-Graduation
- Loan Amount Required: Above 7.5 lakh
- On the right-hand side of the bank loan portal, a list of banks that meet the entered requirements, as well as a list of corresponding loan schemes, will be shown. When you pick one of the loan schemes, a web page with information about that loan scheme will appear.
- After you’ve decided on the education loan program you want to apply for, you’ll need to complete the following steps:
Step 2: Filling out the loan application form:
- Fill up the Common Education Loan Application Form (CELAF) on the portal. This form is supported and accepted by all the associated banks.
- The student can check on the portal to see if his or her application has been approved or denied by the respective bank after filling out the application form.
- Here’s how you can download the application form from Vidya Lakshmi Portal.
- You can also apply for Vidya Lakshmi Education Loan Through the Yono App.
Benefits of Vidya Lakshmi Portal Education Loan
The Vidya Lakshmi Portal is a one-stop platform for students seeking education loans from multiple banks. It simplifies the loan application process, offers transparency, and provides access to both loans and scholarships. Below are some of the key benefits of applying for an education loan through Vidya Lakshmi:
- Single Application for Multiple Banks
- Students can fill up the Common Education Loan Application Form (CELAF) and apply to multiple banks simultaneously.
- Saves time and effort by eliminating the need to visit different banks individually.
- Access to Multiple Educational Loan Schemes
- The portal provides details of various educational loan schemes from different banks.
- Helps students compare education loan interest rates and choose the most suitable option.
- Transparency and Easy Tracking
- Students can upload loan processing status and track application progress in real time.
- Banks regularly update the status, ensuring a hassle-free experience.
- Direct Link to National Scholarship Portal
- The portal is integrated with the National Scholarship Portal, allowing students to explore scholarships alongside loans.
- Helps reduce financial burden by combining loan and scholarship opportunities.
- Centralized Information About Educational Loans
- Provides comprehensive information about educational loans, including eligibility, interest rates, and repayment terms.
- Enables students to search for educational loans that best match their requirements.
- Secure and Government-Backed Platform
- Only banks registered on the Vidya Lakshmi Portal can process loan applications, ensuring security and credibility.
- Managed by NSDL e-Governance, making it a reliable and transparent platform.
- Easy Loan Repayment Options
- Students can compare different loan schemes of banks and choose a repayment plan that suits their financial situation.
- Most loans offer a moratorium period after course completion before repayment begins.
- Digital Convenience
- The portal allows students to download student loan applications, check eligibility, and apply online without visiting a branch.
- Reduces paperwork and makes the entire process more efficient.
- No Service Charges for Application
- The Vidya Lakshmi Portal does not charge students for applying for education loans.
- Eliminates the need for third-party loan facilitators or agents.
- Nationwide Availability
- Students across India, from urban and rural areas, can apply for an educational loan from any location.
- Provides financial support for higher education both in India and abroad.
Also Read: If you are planning to pursue an undergraduate course in Germany and want to take an education loan, check this blog on How To Get an Education Loan without Collateral in Germany.
Why was Vidya Lakshmi Education Loan Portal Started?
For students, the government has launched two portals: the national scholarship platform for scholarships and the Vidya Lakshmi Portal for education loans. The government introduced the Vidya Lakshmi Portal Education Loan to streamline the loan application process. The list of banks in the Vidya Lakshmi portal consists of 45 banks that offer 130+ education loan schemes for students to apply.
The main goal of launching these two websites was to track how many students were applying for scholarships and student loans. Other important factors for which the Vidya Lakshmi Portal for education loan was started are:
- The monitoring helps the government determine how many scholarships to open the next year based on different metrics.
- In contrast, on the college loan side, the government repays outstanding student loans to banks if the student is unable to repay them.
- Vidya Lakshmi scheme is only valid if you take a loan of up to INR 7.5 lakhs to study in India and is known as the government’s guarantee cover scheme for Indian banks.
- As a result, it is recommended that anyone seeking a loan to study in India apply only via the Vidya Lakshmi portal.
FAQs
Students can apply for Educational Loans and Government Scholarships through the Vidya Lakshmi Portal, which serves as a single point of contact for them. The portal provides information on bank educational loan programs and allows students to apply for loans by filling out the common loan application form.
The applicant must first register and log into the Vidya Lakshmi portal and then fill out the Common Education Loan Application Form (CELAF) with all of the required information. The applicant will then check for Educational Loans and APPLY based on their needs, eligibility, and convenience after completing the form.
The Vidya Lakshmi education loan offers interest rates starting at 8.40%. It enables students to obtain up to INR 4 lakh in funding without requiring collateral, with repayment periods extending up to 15 years. However, the exact interest rate on education loans will depend on the education loan scheme and the bank chosen.
The Common Educational Loan Application Form is a single form that students can use to apply for educational loans from various banks and programs. CELAF is the Indian Banks Association’s (IBA) application form, which all banks approve. This form is available on the Vidya Lakshmi portal for seeking an educational loan.
You can use the Forgot password option on the Vidya Lakshmi portal’s Login page, and you’ll be asked to enter your registered email address. Vidya Lakshmi portal will send a system-generated password through an e-mail.
On the Vidya Lakshmi portal, the Bank will change the status of the submission. On the applicant’s dashboard on the portal, students can check the status of their submission.
If the bank requests additional details or paperwork from the student, the bank will place the loan application on hold. The requirement will be noted in the Remarks column, and students will check it on the dashboard.
Through the Vidya Lakshmi portal, a student can apply to a maximum of three banks using CELAF.
The Vidya Lakshmi Portal functions as a monitoring device, allowing users to see the banks’ progress in real time. Applying via the Vidya Lakshmi Portal does not guarantee the sanction’s timeline or the portal’s most recent status. As a result, the application phase time is not reduced.
Yes, the Vidya Lakshmi Portal is secure and backed by the Ministry of Finance, Government of India. Data protection protocols ensure the safety of your information, and transactions are routed directly through the bank.
Vidya Lakshmi Portal is managed by the Department of Financial Services (DFS), the Department of Higher Education (DHE), and the Indian Banks’ Association (IBA) in collaboration with NSDL e-Governance Infrastructure. These organizations ensure that students receive accurate, up-to-date information on education loans.
Yes, registering on the Vidya Lakshmi Portal is entirely free of charge. You only need a valid email address and mobile number to get started, and once registered, you can apply to multiple banks without any registration fees.
Yes, you can apply for multiple education loans through a single application form on the portal. The system allows you to select different banks and loan schemes, making it easy to explore various options that suit your needs.
We hope that this blog has provided you with all of the requisite information in preparation for your education loan application for the Vidya Lakshmi Portal.
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what’s the maximum parental income to avail vidya laxmi education loan ?
The Vidya Lakshmi Education Loan platform does not set a specific maximum parental income limit to apply for education loans. However, individual banks or financial institutions offering loans through the Vidya Lakshmi portal may have their own income criteria for eligibility. For example, many education loans offered under government schemes like the Central Sector Interest Subsidy Scheme (CSIS) may have parental income caps, such as a maximum annual income of INR 4.5 lakhs for the student to be eligible for interest subsidies.