Last year I took admission to B. Tech in NIT Jaipur for which I availed a loan of Rs 5 lakh as my parent’s income is not enough to support my education. Will I be eligible to get relief from interest on this loan?
Suresh Kumar Jain, Kota
Since 2009-10, the subsidy on education loan is in force and is applicable only to students whose parental income from all sources is less than Rs 4.5 lakh per annum. Full interest subsidy will be provided to such students during the course period. The subsidy is not applicable for a loan taken prior to April 1, 2009. As you have taken the loan after this date, you can ask for relief from your bank by providing a certificate that indicates the income of your parents being below the threshold signed by a competent authority. The bank from which you have borrowed money for your education will take it further once you have these documents in place.
