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AAP govt launches higher education loan scheme for students

New Delhi :Fulfilling its poll promise, the AAP government today launched its higher education loan scheme under which students will be provided loan up to 10 lakh by banks with the government as a guarantor.

Higher education and skill development guarantee scheme aims at helping students who wish to pursue higher education.

According to an official, no collateral or third party guarantee or margin money will be required in this scheme. There would be no processing charges for the same.

“This is a big step in the field of education not only in Delhi but in the country. There are many students who cannot fulfill their dreams due to lack of money and such scheme.

“Some parents do not have money to give guarantee for the loan where dreams of their children get crushed. Government stands with those parents who do not have property to mortgage or collateral security. We request bank to give them loan to study and we take their responsibility,” Deputy Chief Minister Manish Sisodia said at the launch event where he distributed loan cheques to students at Delhi Secretariat.

Facilitating bank loans for students was one of the key poll promises of the Aam Aadmi Party.

Government highlighted that the success of the scheme will not rely on how officials have drafted the scheme but on the repayment of loans by students.

“I want this scheme to run for years to come, but it will run only when students also stay committed. We take the guarantee of those students who fails to get a job despite higher education but this trust will break if students do not repay even after getting jobs.

“Finance should not be a barrier in studies. I trust students and they will repay banks loan. These students are going to start innovative center, start-ups and new business will create business opportunity for banks and will resolve various issues of the country,” Sisodia said.