NSFDC Education Loan Scheme 2026: Up to ₹40 Lakh Loan, Interest Rates & How to Apply

At a glance

About the scheme

Administered by the National Scheduled Castes Finance and Development Corporation (NSFDC) under the Ministry of Social Justice and Empowerment, the Education Loan Scheme supports Scheduled Caste students who wish to pursue regular, full-time professional, technical, or doctoral courses in recognised institutions within India or abroad. By offering loans covering up to 90% of course fees at subsidised interest rates, with special concessions for female scholars, the initiative ensures that financial limitations do not prevent deserving students from acquiring higher professional qualifications and skill-based careers.

Benefits

• Loan coverage of up to ₹30 lakhs or 90% of the course fee (whichever is less) for approved professional and technical studies in India.
• Loan coverage of up to ₹40 lakhs or 90% of the course fee (whichever is less) for higher education abroad.
• Concessional interest rate for domestic studies: 6% per annum for male students and 5.5% per annum for female students.
• Concessional interest rate for overseas studies: 7% per annum for male students and 6.5% per annum for female students.
• Repayment duration up to 10 years for loans up to ₹10 lakh for studies in India, and up to 12 years for overseas studies.
• Moratorium holiday period extending up to 6 months after course completion or securing employment, whichever occurs earlier.

Who can apply (eligibility)

• The applicant must belong to the Scheduled Caste (SC) community.
• Total annual family income of the applicant must not exceed ₹3.00 lakh.
• The student must be enrolled in or pursuing a recognised regular full-time professional, technical, vocational, or doctoral course in India or abroad.
• Applicants must apply for financial assistance from NSFDC through the concerned State Channelizing Agencies (SCAs) or Channelizing Agencies (CAs).

Who cannot apply

• The education loan cannot be provided for any course that has already been completed.

Documents required

• Proof of Identity (Aadhaar Card)
• Passport sized photograph
• Proof of educational qualification (passing certificate / marksheet)
• Caste certificate issued by the relevant authority of district administration
• Annual family income certificate on self-certification endorsed by a Gazetted Officer or Bank Branch Manager
• Bank details of the applicant

How to apply

1. 1Visit the official NSFDC portal at nsfdc.nic.in to access the Education Loan Scheme section.
2. 2Fill in the Education Loan Application Form with all required personal and academic information.
3. 3Attach the necessary supporting documents and submit the online application.
4. 4Alternatively, download the official application form PDF from the NSFDC website.
5. 5Fill out the physical form, attach photocopies of all required certificates, and submit it to the nearest partner bank or NSFDC office.

Frequently asked questions