Bihar Chief Minister Nitish Kumar on Tuesday announced that education loans will now be made "interest-free for all applicants" who have passed Class 12
under the Student Credit Card Scheme. Sharing the post on X, the Bihar CM said that the decision would ensure that as many students as possible pursue higher education in the state. "Under the 07 Nischay Yojana in Bihar, the Bihar Student Credit Card Scheme has been in effect since October 2, 2016, for students who have passed the 12th grade and wish to pursue higher education Under the Bihar Student Credit Card Scheme, an education loan of up to 4 lakh rupees is provided for higher education at an interest rate of 4 percent for general applicants and only 1 percent for female, differently-abled, and transgender applicants. I am extremely pleased to inform you that now the education loan provided under the Student Credit Card Scheme will be interest-free for all applicants," Nitish Kumar said.
Interest-free loans in Bihar under Student Credit Card Scheme—All you need to know
The Bihar CM revealed that borrowers of loans up to Rs 2 lakh will now get seven years (84 monthly installments) instead of five years to repay, while those with loans above Rs 2 lakh will get up to ten years (120 installments), compared to the earlier seven years.
"Additionally, the provision for repaying an education loan of up to 2 lakh rupees in 60 monthly installments (5 years) has now been extended to a maximum of 84 monthly installments (7 years). For loan amounts above 2 lakh rupees, the repayment period has been extended from 84 monthly installments (7 years) to a maximum of 120 monthly installments (10 years)," he said.
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Launched on October 2, 2016, under the 07 Nischay programme, the scheme was designed to support students who had passed Class 12 and wished to pursue higher education. "These facilities provided in the education loan for higher education will boost the morale of students, enabling them to pursue higher education with greater enthusiasm and dedication, thereby shaping not only their own future but also the future of the state and the country," the Bihar CM said.
The 2025 Bihar Legislative Assembly election for all 243 constituencies is scheduled to be held in October or November.
