Bengal Launches Student Credit Card For Loans Up To Rs 10 Lakh
Bengal Chief Minister Mamata Banerjee today announced the launch of a student credit card with a limit of Rs 10 lakh, fulfilling one of his main pre-election promises. A student – under the age of 40 – who has lived in Bengal for 10 years will be eligible for the card, which can be used to secure a loan for higher education in India or abroad. “No guarantor is needed for this loan. The state will be guarantor,” Banerjee said at an online press conference, calling it “a one-time program.”
The loan will be available for undergraduate, postgraduate, doctoral and post-doctoral studies in India or abroad, Banerjee told reporters. It could also be available for students studying in coaching classes for competitions.
The loan can be taken out for course fees, tuition fees, accommodation fees, books, study materials, computers or laptops, the chief minister said.
The loan can be taken out from any bank – public or private – or even from cooperative organizations.
Any student taking a loan of Rs 10 lakh on the card will have 15 years to repay it.
“Students can apply for this loan online, it can even be in the middle of a class. After that, parents won’t have to worry about their children’s education. Students don’t need to. be under pressure and run from pillar to post for an education loan, “the chief minister said.” I hope that in the coming days this loan will help students achieve their dreams. I would ask my student friends to forget about worrying about money and focus on their studies, ”she added.
The government of Bengal is among the first to offer a student credit card. Bihar is in the process of organizing it.
Currently, student credit cards are only offered by certain private banks, including ICICI Bank, HDFC Bank, and Axis Bank.
The State Bank of India also offers a secure card against a fixed deposit of Rs 5000.
Most cards offered by banks have nominal membership or annual fees and they come with a number of rewards including fuel surcharge waivers, department store cash back rewards, points on transactions. online and even extra points for money spent on the cardholder’s birthday.