The Vocational Education and Training Loan Scheme is designed to provide financial assistance to youth from the target group to enhance their skills and employability. The scheme helps students enroll in vocational training programs to build careers in various fields, empowering them to pursue skill-based education and improving their job prospects.
Benefits:
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Quantum of Loan:
- A maximum of 90% of the entire course cost can be financed under this loan with the following ceilings:
- For courses up to 2 years: ₹4,00,000.
- Cost Over-run: Any expenses beyond the ceiling will need to be borne by the beneficiary.
- A maximum of 90% of the entire course cost can be financed under this loan with the following ceilings:
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Interest Rate:
- 1% per annum from the National Safai Karamcharis Finance & Development Corporation (NSKFDC) to the Channelizing Agency.
- The Channelizing Agency charges 4% per annum from beneficiaries.
- A 0.5% rebate on the interest rate is offered to women beneficiaries.
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Repayment:
- Loan repayment is allowed over a maximum period of 7 years.
Eligibility:
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Applicant Criteria:
- The applicant must belong to the target group of NSKFDC.
- The applicant should have secured admission in a vocational course supported by the Government or affiliated institutions like the National Skill Development Corporation (NSDC) or State Skill Missions/Corporations.
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Course Eligibility:
- The vocational course should have a minimum duration of 6 months and up to 2 years.
- The course should lead to a Certificate/Diploma/Degree, issued by a recognized Government body or a Government-authorized organization.
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Age Eligibility:
- The applicant should be 18 years or older at the time of course completion.
- The upper age limit is 50 years.
Application Process:
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Visit the Official Website:
- Go to the official website of NSKFDC.
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Loan Application:
- Click on “How to Apply” and tap on Loan Application Form.
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Fill the Form:
- Complete the application form by entering all necessary details.
- Click Save to store the application before submitting.
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Submission:
- Submit the filled application form to proceed with the loan application process.
Documents Required:
- Aadhaar Card
- Driving License
- Bank Account Details
- Caste Certificate
- Income Certificate
- Domicile Certificate
Frequently Asked Questions (FAQs):
Q1: What is the age condition to be eligible to apply?
A1: The age shall be 18 years and above at the course completion stage and a maximum age of 50 years.
Q2: Which are the fees paid for through the Vocational Education and Training Course?
A2: Admissions/tuition fees, exam fees, book charges, tools, instruments, boarding, lodging, and miscellaneous course expenses, as necessary.
Q3: How soon must I repay the loan?
A3: The loan repayment period is 7 years.
Q4: What is the interest rate on the loan?
A4: The interest rate is 4% annually for beneficiaries and 0.5% rebate for females.
Q5: What is the course eligibility?
A5: The course is vocational, 6 months to 2 years, funded by the Government or NSDC/state skill institutes.
Q6: What are the loan eligibility requirements?
A6: The target group member of NSKFDF must be enrolled in a recognized vocational course leading to a Government-approved certification by a reputed Government agency.