The Chief Minister of West Bengal Mamata Banerjee has announced the 'Student Credit Card Scheme' yesterday, June 30, 2021' on her Twitter account. Under the 'Student Credit Card Scheme,' a student can get a soft loan of up to ₹10 lakh to pursue higher studies and different competitive examinations such as Engineering/ Medical/ Law, IAS, IPS, WBCS, SSC, etc., UPSC, PSC, SSC, etc.
West Bengal Student Credit Card Scheme – Eligibilities Criteria
Those students who are studying in class 10 and above will apply for the student credit card scheme and the upper age limit to apply for this scheme is 40 years. This scheme will also be applicable for those students who are residing in the state for 10 years or more, they will also be eligible for this card.
The objective of the Scheme
The Student Credit Card Scheme outlined herein aims at providing financial support/ assistance by the State Government at a nominal interest rate (with suitable guarantees to the bank) to the students residing in West Bengal for at least 10 years and pursuing education from class 10 onwards, or studying in various coaching institutes for appearing in different competitive examinations like Engineering/ Medical/ Law, IAS, IPS, WBCS, SSC, etc., UPSC, PSC, SSC, etc., and pursuing Undergraduate, Postgraduate courses including professional degree, Diploma courses, and research at doctoral/ post-doctoral level or other similar courses in schools, Madrasahs, colleges, universities, and other institutes like IITs, IIMs, IIESTs ISIs, NLUs, AIIMSs, NITs, XLRI, BITS, SPA, NID, IISc, IIFTs, ICFAI Business School, etc., within or outside the country, who are unable to pursue higher education due to financial constraints.
The main emphasis is that students are provided with an opportunity to pursue higher education, with financial support from the banking system with reasonable and affordable terms and conditions. Under this Scheme the aspiring students may upon fulfilling the terms and conditions detailed herein, obtain a maximum loan of Rs. 10.00 lakhs at the rate of 4% simple interest from State Co-operative Banks and its affiliated Central Cooperative Banks and District Central Cooperative Banks and Public Sector/ Private Sector Banks operating in the State of West Bengal.
How to apply for West Bengal Student Credit Card Scheme?
Purpose of Scheme
- Course fees payable to the School/ Madrasah/ College/ University / Professional Institutes like IITs, IIMs, IIESTs, ISIs, NLUs, AIIMSs, NITs, XLRI, IISCs, BITS, SPA, NID, IIFTs, ICFAI Business School, etc. various competitive coaching institutes meant for different competitive examinations like Engineering/Medical/Law, IAS, IPS, WBCS, SSC, etc.
- Fees required for accommodation in School/ Madrasa/ College/ University/ Institution hostel or rent/ license fee payable for living outside the hostel or fees required for living as a Paying Guest.
- Fees payable for caution deposit/ building fund / refundable deposit/ examination/ library/ laboratory fees to be supported by Institutions bills/ receipts.
- Cost of purchasing of books/ Computer/ Lap-top/ Tablet/ equipments etc.
- Any other expense required to complete the course such as study tours, project works, thesis, etc.
- The student can incur expenditure up to 30% of the total loan sanctioned for non-institutional expenses for the whole course of study.
- Up to 20% of the total loan sanctioned can be used as living expenses for the duration of the course.
Student Eligibility and the process
- The student seeking a loan under the scheme should be an Indian national and resident of West Bengal for the last 10 years. Self-declaration by the student as appended in the application form will be accepted. A copy of the application format is annexed at Annexure-I.
- Student must have got himself enrolled for higher studies including courses as stated in para 3 of this scheme, either within or outside the country, in the School, Madrasahs, colleges, universities, and other institutes like IITs, IIMs, IISc, IITs, ISIs, NLUs, AIIMSs, NITs, XLRI, BITS, SPA, NID, IIFTs, ICFAI Business School, etc. or studying in various coaching institutes for appearing in different competitive examinations like Engineering/ Medical/ Law, IAS, IPS, WBCS, SSC, etc.
- Aspiring students will apply online as per the format given at Annexure-I, through a web-based portal to be maintained by the Higher Education Department through the respective School/ Madrasah/ College/ University/ Institute in which he has got enrolled. The portal will have a dashboard for each such student which shall be accessible to the Institutes concerned, the Department, and the Bank.
- The interested students should not be aged more than 40 (forty) years at the time of applying for the loan.
- The student who applied for the credit card will link preferably their AADHAR Card or the Class X registration number with the concerned portal while applying to the Higher Education Department through their respective Institution.
- The Higher Education Department will forward the applications after due examination to the Bank for sanction and issuance of Credit Card.
- The concerned Bank will sanction the applications after due examination and issue the credit card in physical form based on the recommendation given by the Department and upon complying with necessary formalities by the student/ guardian/ parent as required under RBI guidelines
- There shall be a Nodal officer for maintaining the web-based portal at the Department, Institution, and Bank-level who shall have permission to access the student’s dashboard availing loan under this scheme.
- The student concerned needs to upload his progress report card/ statement on completion of each semester/ year examinations.
West Bengal Student Credit Card Scheme – Documents Required
- Aadhar card
- Residence certificate
- Age proof
- Ration card
- Income certificate
- Bank account details
- Mobile number
- Passport size photograph
Quantum of Loan and Documentation
- The maximum amount of loan available under the Scheme is Rs. 10.00 lakhs at a 4% simple rate of interest per annum, after interest subvention.
- For the entire amount of loan sanctioned up to Rs.10.00 Lakh, rate of interest to be charged at prevalent 3- year MCLR of State Bank of India Plus 1%. The Rate of Interest so fixed on the date of sanction will remain fixed and calculated at a simple rate for the entire duration of the loan.
- A student can avail loan under this scheme at any time during the course of study.
- The bank concerned shall upload the details of the loan to the Department’s portal immediately after disbursement of the loan and such detail shall be updated by the Bank from time to time.
Margin Money Under Student Credit Card Scheme
- Up to Rs. 4.00 Lakhs: NIL
- Above Rs. 4.00 Lakhs: 5%
- Scholarship/ Assistance ship to be included in Margin.
- Margin will be brought in on a year-to-year basis as and when disbursements are made on a pro rata basis in applicable cases.
While sanctioning the loan, the Bank should not put any unnecessary restrictions or conditions regarding
collateral security etc.
The Banks will not insist on any security /collateral security in tangible/ intangible form other than no obligation of the parents/ legal guardians. The State Government will enter into an agreement with the banks separately in this regard.
- Source / Credits: wbscc.wb.gov.in
- Students Credit Card Scheme FAQ’s PDF: Click Here
West Bengal Student Credit Card Scheme Guidelines PDF
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