NSFDC Government Education Loan for SC Students to Study Abroad

Access to education is vital to creating a better future, but the expenses associated with higher education can pose a significant obstacle, especially for underprivileged students, including those from the Schedule Castes (SCs) community. 

To address this issue, the National Scheduled Castes Finance and Development Corporation (NSFDC) was established in 1989 by the government of India as a non-profit organization. It offers education loans up to Rs. 30 Lacs to students from scheduled castes (SCs) to pursue higher education both in India and abroad. Keep reading, to learn more about the NSFDC Education loan.

The NSFDC education loan scheme is available to SC students if they have secured admission to recognized institutions for pursuing full-time Professional/Technical courses such as engineering, management, medicine, journalism and various other courses.

In order to be eligible for the NSFDC Education Loan, the government of India has set some basic eligibility criteria that you must fulfill. Some of the important Criteria include:

• The applicant must hold Indian citizenship
• Only applicants, who have a valid Schedule Caste (SC) certificate provided by a legal authority like SDO or ADM (the legal authority varies from state to state)
• The family annual income of a student must be less than 3 lakhs (for both rural and urban areas)
• The applicant should have a good academic score and have secured admission in a full-time professional or technical course like ( B.tech, MBBS, M.Arch, or BE)  to a recognized university in any country on a merit basis.
• Students should not have any ongoing loan or sanctioned loan for the same course for which the NSFDC loan is being applied.
• Female candidates would be preferred for the NSFDC Education Loan scheme.

For Schedule Caste (SC) students, who aspire to pursue their dream of higher studies from abroad, NSFDC (National Scheduled Castes Finance and Development Corporation) Education Loan is a ray of hope for all of them. Students can use their loan amount for all the expenses like- tuition fees, living expenses, and miscellaneous expenses. For additional details read the chart:

Only about 26% of reserved category (SCs, STs) students aged 15 and above have completed their undergraduate. But NSFDC Education Loan is playing a crucial role in changing this scenario by providing sufficient funds at a lower rate of interest i.e. 4%.

In this section, we will walk you through the step-by-step process of applying for the NSFDC Education Loan, and other crucial details. So, keep reading and explore how the NSFDC Education Loan is empowering Schedule Caste (SCs) students and helping them fulfil their dreams of higher education in India as well as abroad.

Step 1 - The first step is to check whether you are eligible for this loan or not. You can visit the official website or you can read the third section of this article to get clarity about NSFDC Education Loan eligibility criteria.

Step 2 - In your next step, you have to collect all the required documents, as discussed in the previous section and make sure that all the documents are valid and updated. We have seen lots of loan applications getting rejected because of invalid documents.

Step 3 - Download the loan application form from the official portal of the NSFDC Education Loan and fill all the mandatory details required to fill in.

Step 4 - Eligible candidates now have to submit the loan application form to the District Offices of State Channelizing Agencies (SCAs).

Step 5 - The agency will then scrutinise your application and forward the application to the head office of NSFDC along with their recommendations for sanction.

Step 6 - Once the sanction is done, a Sanction Letter as a Letter of Intent (LOIs), along with the terms and conditions are issued to the agency for acceptance

Step 7 - Disbursement of the loan amount in the beneficiary agency’s account after the acceptance of the terms and conditions of the sanction and fulfillment of Prudential Norms

NOTE- Candidates, who are eligible for the NSFDC Education Loan can also submit their application to the other Channelising Agencies of NSFDC such as Regional Rural Banks/ Public Sector Banks/ NBFC-MFIs etc. with whom NSFDC has signed Memorandum of Agreements.

The NSFDC Education Loan Scheme offers a diverse range of courses for students from Schedule Castes (SCs) who aspire to pursue their dreams in professional and technical fields. Here is the list of all the courses that are eligible under this scheme-

• Engineering and Technology- Engineering (Diploma/ B.Tech /B.E, M.Tech/M.E.), Architecture (B.Arch/M.Arch), Information Technology (BCA/MCA), Associate Member of Institute of Engineers (AMIE) and Institute of Electronics & Telecommunication.
• Medical and Health Sciences- Medical (MBBS/MD/MS), Biotechnology/Microbiology/Clinical Technology (Diploma/Degree), Pharmacy (B.Pharma/M.Pharma), Dental (BDS/MDS), Physiotherapy (B.Sc./M.Sc.), Pathology (B.Sc/M.Sc.), Nursing (B.Sc./M.Sc.), Geriatric Care (Diploma/Post Graduate Diploma), Midwifery (Diploma), Laboratory Technician (Diploma)
• Business and Management- Management (BBA/MBA), Chartered Accountancy (CA), Cost Accountancy (ICWA), Company Secretaryship (CS), Actuarial Sciences (Graduation/ Post Graduation/FIA)
• Humanities and Social Sciences- Education (CT/NTT/B.Ed/M.Ed), Journalism & Mass Communication (Graduation/Post Graduation), Physical Education (C.PEd./B.PEd/ M.PEd), Higher education like Doctoral Studies leading to M.Phil/Ph.D. from recognized institutions.

At times, obtaining an Education Loan can be an arduous task due to a time-consuming and exhaustive process that includes extensive documentation. However, with WeMakeScholars, you can bypass the hassle and streamline the process entirely online, making it smooth and effortless.

WeMakeScholars is an organization backed and financed by the Indian Ministry of IT, committed to providing outstanding educational loan assistance to students aspiring to pursue their higher education at top universities.

• Comprehensive support from experts: Our team of financial officers will carefully evaluate your profile to identify the most suitable loan options and provide guidance throughout the repayment period. It includes addressing any unexpected interest rate fluctuations.
• Negotiation assistance: Our skilled financial officers are trained to negotiate with lenders on your behalf to secure the most favourable terms and conditions.
• Interest rate discounts: As a partner with 14+ private and public banks, we can offer you interest rate discounts ranging from 0.5% to 2% on your education loan.
• Free services: Our association with the Ministry of IT under the Digital India campaign enables us to offer free services to students.
• Streamlined processing times: We can process your loan application in as little as 2-7 working days with a private bank or in 21 working days with a public bank, saving you time and effort compared to visiting a bank in person.
• Tax benefits: By using our services, you can take advantage of tax exemptions under sec 80C and 80E and save money while filing your ITR (Income Tax Return).
• Cashback offers: Once your loan is sanctioned and disbursed through us, you can unlock cashback offers of up to Rs. 3000, providing additional savings.