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.
This information was given by the Minister of State for Finance, Shri Namo Narain Meena in written reply to a question in Rajya Sabha today.