APPROVED 2024EDUCATION / STUDENT FINANCE

PM Vidyalaxmi Scheme

Collateral-free, guarantor-free education loans for meritorious students pursuing higher studies.

⬢ Quick Snapshot

📅
Approved
November 2024
🎓
For
Students in quality higher-ed institutions
🏦
Loan Type
Collateral-free & guarantor-free
🛡️
Credit Guarantee
Govt. guarantee on loans up to ₹7.5 lakh
💸
Interest Subvention
3% on loans up to ₹10 lakh (income criteria)
🏛️
Ministry
Ministry of Education

PM Vidyalaxmi is a central-sector scheme approved in 2024 to provide financial support to meritorious students so that money is not a barrier to higher education. It offers collateral-free and guarantor-free education loans for students admitted to top-ranked quality higher-education institutions, backed by a government credit guarantee and interest subvention for eligible income groups.

🎯 Key Objectives

  • Ensure no meritorious student is denied higher education due to lack of funds
  • Provide collateral-free and guarantor-free education loans
  • Offer credit guarantee and interest subvention to eligible students
  • Support students admitted to quality higher-education institutions

🛠️ How It Works

1
Student gains admission to an eligible quality institution (QHEI).
2
Applies for a collateral-free, guarantor-free loan via a unified portal.
3
Government credit guarantee covers loans up to ₹7.5 lakh.
4
Eligible students get 3% interest subvention (loans up to ₹10 lakh).

📊 Key Facts

Type
Central-sector scheme
Approved
November 2024
Credit Guarantee
On loans up to ₹7.5 lakh
Interest Subvention
3% on loans up to ₹10 lakh (for eligible income)
Nodal Ministry
Ministry of Education
Goal
Education access without financial barriers
⚡ Exam Quick-Revision: Approved 2024 · collateral-free & guarantor-free loans · credit guarantee up to ₹7.5 lakh · 3% interest subvention up to ₹10 lakh · Min. of Education.

📝 Practice MCQs

5 questions · correct answer highlighted in green

Q1PM Vidyalaxmi scheme is related to:
ACrop loans
BEducation loans for higher studies ✓
CHousing loans
DVehicle loans
Q2A key feature of PM Vidyalaxmi loans is that they are:
AHigh collateral
BCollateral-free and guarantor-free ✓
CFor government employees only
DAvailable only abroad
Q3PM Vidyalaxmi was approved in which year?
A2021
B2022
C2023
D2024 ✓
Q4Under the scheme, government credit guarantee is provided on loans up to:
A₹2 lakh
B₹5 lakh
C₹7.5 lakh ✓
D₹20 lakh
Q5PM Vidyalaxmi is implemented under which ministry?
AMinistry of Finance
BMinistry of Education ✓
CMinistry of Skill Development
DMinistry of Labour