The Bihar government on Tuesday announced that interest-free loans will be provided to students who have passed the Class 12 board examinations under the Student Credit Card Scheme, aimed at supporting them in pursuing higher education. Chief Minister Nitish Kumar said the move is part of ongoing reforms under the state’s flagship Saat Nischay Yojana to make higher education more accessible.
In a post on X, he said, "I am delighted to announce that education loans under the Student Credit Card Scheme will now be completely interest-free for all applicants."
Under the existing scheme, students completing Class 12 could avail loans of up to ₹4 lakh at 4% interest for general applicants and 1% for women, differently-abled, and transgender applicants.
Nitish Kumar also highlighted revisions in repayment tenure "Previously, loans up to ₹2 lakh had to be repaid in 60 monthly instalments (5 years). Now, it can be repaid in up to 84 monthly instalments (7 years). Loans above ₹2 lakh, earlier repayable in 84 months, can now be extended to 120 monthly instalments (10 years)."
The Chief Minister emphasised that the broader goal of the initiative is to ensure that as many students in the state can pursue higher education. He added that these reforms will boost students’ morale and encourage them to study with greater enthusiasm and dedication, helping shape not only their future but also the future of the state and the nation.
