GOVERNMENT OF INDIA
MINISTRY OF FINANCE
LOK SABHA
UNSTARRED QUESTION NO 428
ANSWERED ON 06.12.2013
TIME LIMIT FOR REPAYMENT OF EDUCATIONAL LOANS
428 . Shri R. THAMARAISELVAN
Will the Minister of FINANCE be pleased to state:-
(a) the existing time limit fixed by the Government/Reserve Bank of India (RBI) for repayment of educational loans taken by students to pursue higher studies abroad;
The India Banks’ Association (IBA) had circulated a Model Educational Loan Scheme for implementation to its member banks with broad operational guidelines. Banks may adopt the scheme with discretion to make changes as deemed fit.
The scheme is for all Indian Nationals who have secured admission to professional/technical courses in India or abroad through an entrance test/merit based selection process.
As per the scheme, the assessment of the educational loan is based on the employability and earning potential of the student upon completion of the course.
