Education plays a crucial role in shaping the future of young people and ensuring the development of a progressive nation. However, many deserving students are unable to pursue higher education due to financial challenges and the growing cost of academic programs. Recognizing this issue, the Government of Assam launched the Assam Abhinandan Education Loan Subsidy Scheme on 26th December 2019 to provide much-needed financial relief to students who have taken education loans.
Implemented by the Finance Department, Government of Assam, this scheme provides a loan subsidy of up to ₹50,000 on education loans to students pursuing higher studies. The initiative aims to encourage more students to continue their academic journey without being burdened by heavy interest rates or loan repayments. By providing this financial assistance, the government has taken a significant step toward promoting higher education and reducing financial stress on families in the state.
Dates and Launch Details
- Scheme Name: Assam Abhinandan Education Loan Subsidy Scheme
- Launched On: 26th December 2019
- Launched By: Hon’ble Chief Minister of Assam
- Implementing Department: Finance Department, Government of Assam
- Beneficiaries: Students pursuing higher education in Assam
- Loan Subsidy Limit: Up to ₹50,000 per student
Objectives of the Scheme
The primary goal of the Assam Abhinandan Education Loan Subsidy Scheme is to support students financially so that they can continue higher education without worrying about loan repayment pressure. The main objectives include:
- Encouraging Higher Education:
To motivate and support students in pursuing higher studies by easing their financial burden through loan subsidies. - Reducing Financial Stress:
To help parents and students manage the financial challenges of education loans by providing partial repayment assistance. - Promoting Education Loan Culture:
To encourage responsible borrowing and repayment habits among students while increasing trust in education loan systems. - Supporting Permanent Residents:
To benefit the permanent residents of Assam who have availed education loans from scheduled commercial or regional rural banks within the state. - Inclusive Educational Development:
To ensure equal educational opportunities for students across urban and rural areas of Assam.
Key Features of the Scheme
The Assam Abhinandan Education Loan Subsidy Scheme is a unique initiative that directly assists students through financial support. Here are the key highlights of this welfare program:
- Financial Subsidy of ₹50,000:
Each eligible student is entitled to receive a one-time subsidy of up to ₹50,000 on their education loan. - Wide Bank Coverage:
The scheme covers loans sanctioned by all Scheduled Commercial Banks (such as HDFC, SBI, Federal Bank, Axis Bank, etc.) and Regional Rural Banks (RRBs) like Assam Gramin Vikash Bank. - Encouraging Higher Studies:
It is designed to encourage students to complete higher education and pursue their academic dreams despite financial constraints. - Simple Application Process:
Students can apply online for the subsidy by filling out a form and uploading relevant documents, making the process quick and transparent. - Direct Benefit Transfer (DBT):
The subsidy amount is directly transferred into the applicant’s registered bank account, ensuring complete transparency and eliminating intermediaries. - Loan Support for Multiple Courses:
Students pursuing undergraduate, postgraduate, or professional courses are eligible, provided their education loan amount is at least ₹1,00,000. - No Discrimination:
The scheme treats all eligible students equally, irrespective of their caste, religion, or gender, thereby ensuring universal educational support.
Scholarship / Subsidy Amount
The financial assistance provided under the Assam Abhinandan Education Loan Subsidy Scheme is as follows:
| Type of Benefit | Details |
|---|---|
| Subsidy Amount | ₹50,000 per student |
| Type of Support | One-time education loan subsidy |
| Applicable Loan Amount | Minimum ₹1,00,000 |
| Eligible Banks | All Scheduled Commercial Banks and Regional Rural Banks recognized by RBI |
| Disbursement Mode | Direct Benefit Transfer (DBT) to applicant’s bank account |
This subsidy significantly reduces the repayment amount and interest burden on students and parents, allowing them to focus on education rather than financial stress.
Eligibility Criteria
To ensure that benefits reach the right students, the following eligibility conditions must be met:
- Domicile Requirement:
The applicant must be a permanent resident of Assam. - Education Loan Requirement:
- The applicant must have availed an education loan from a Scheduled Commercial Bank or Regional Rural Bank within Assam.
- The loan must be recognized by the Reserve Bank of India (RBI).
- Minimum Loan Amount:
The education loan should be at least ₹1,00,000 at the time of application. - Loan Repayment Condition:
The student should have paid at least 25% of the total loan amount to be eligible for the subsidy. - Course Eligibility:
Students pursuing higher education in any recognized college, university, or professional institution are eligible. - One-time Benefit:
The subsidy is applicable only once per eligible applicant during the entire loan period.
Reservation Policy
The Assam Abhinandan Education Loan Subsidy Scheme does not have any caste-based or category-based reservations. However, it follows a universal inclusion policy, ensuring every deserving student from Assam can apply.
Special focus is given to:
- Economically weaker families struggling with loan repayments.
- Students enrolled in professional or higher education courses within or outside Assam.
- Female students, who are encouraged to pursue higher education through equal access.
Distribution of Benefits
The distribution of the subsidy is conducted through a transparent and accountable system to ensure timely benefit delivery.
- Direct Transfer to Beneficiaries:
Once verified, the subsidy amount of ₹50,000 is transferred directly into the student’s loan-linked bank account through Direct Benefit Transfer (DBT). - Monitoring by Finance Department:
The Finance Department, Government of Assam, monitors and verifies all applications before approving payment. - Bank Coordination:
The concerned banks assist in verifying loan details, repayment history, and applicant eligibility. - Timely Disbursement:
Approved applications are processed in batches, and payments are credited within a stipulated time frame after successful verification.
Application Process (Step-by-Step Guide)
The application process for the Assam Abhinandan Education Loan Subsidy Scheme is conducted online, making it accessible for all eligible students across the state. Below is a detailed guide:
Step 1: Visit the Official Portal
Go to the official website of the Assam Government. On the homepage, locate the section labeled “Click here for Loan Subsidy” and click on it.
Step 2: Select the Scheme
Choose “Assam Abhinandan (Education Loan Subsidy Scheme)” to access the online application form titled “Application for Release of Subsidy”.
Step 3: Fill in Personal and Loan Details
Enter the required details carefully:
- Full Name of the Student
- Father’s or Mother’s Name
- Date of Birth
- Residential Address
- Mobile Number
- PAN Card Details
- Bank Account Details
Step 4: Upload Supporting Documents
Upload the scanned copies of all mandatory documents (in readable format):
- Loan Sanction Letter / Loan Account Statement / Loan Passbook Copy
- Address Proof (Aadhaar / Voter ID)
- PAN Card
- Passport Size Photograph
Step 5: Declaration and Submission
Check the declaration box confirming that the details entered are correct. Then click on “Save” or “Submit” to complete the application process.
Check Application Status
After submission, applicants can track their application status online by following these steps:
- Visit the official website.
- Scroll down to the “Application Tracking” section and click on “Track”.
- Enter your Mobile Number, Loan Account Number, or Application Number.
- Click on “Submit” to view the current status of your application.
Documents Required
Students applying for the scheme must provide the following documents during the online application process:
- Passport-sized Photograph of the student
- Aadhaar Card of the student
- Identity Proof of Parents (Aadhaar, Voter ID, or PAN Card)
- Bank Loan Documents (Sanction Letter, Account Statement, Loan Passbook)
- Proof of Address (Ration Card, Utility Bill, or Domicile Certificate)
- Residential / Domicile Certificate issued by a competent authority
- Educational Qualification Certificates (Mark sheets or Passing Certificates)
- PAN Card of the student or parent
- Bank Details (Account Number and IFSC Code)
Monitoring and Implementation
The Finance Department, Government of Assam, is responsible for implementing and monitoring the scheme.
- Data verification is conducted through official bank records.
- The entire process is digitized to ensure transparency and accountability.
- Regular audits are conducted to avoid duplication and fraudulent claims.
- A dedicated support team addresses student grievances related to application or payment delays.
Impact of the Scheme
The Assam Abhinandan Education Loan Subsidy Scheme has had a significant impact since its launch:
- Encouraged Students: Thousands of students have benefited from the ₹50,000 subsidy, motivating them to continue their higher education.
- Financial Relief: Families facing economic hardship received vital support in repaying their education loans.
- Improved Loan Repayment Culture: The scheme encouraged timely repayments and responsible financial behavior among students.
- Strengthened Banking Partnerships: It fostered better coordination between the state government and financial institutions.
