REGULATIONS FOR EDUCATION LOAN
1. West Bengal Scheduled Castes, Scheduled Tribes and Other Backward Classes
Development & Finance Corporation has been extending education Loan facility to
SC/OBC/Safai Karmachari community students following the norms and policies of
respective National Corporations since 2011.
2. In line with the current policy of the National Corporations, Education Loan is
extended to the students ordinarily residing in the State of West Bengal by the
Corporation subject to compliance of the following parameters:
2.1 Applicant must belong to either SC or OBC or Safai Karmachari communities.
2.2 Applicant must have valid caste certificate issued by competent Authority/ in
case of Safai Karmachari community identity certificate issued by competent
Authority.
2.3 Annual family income shall not exceed ₹ 3,00,000.00 from all sources
(₹ 4,50,000.00 for Safai Karmachari community)
2.4 Education Loan shall be extended for pursuing full time Technical/ professional
or higher education in the field of Engineering, Technology, Medicine,
Management etc.
2.5 Amount of Loan shall be restricted to 90% of the cost of the course subject to
Max. of ₹ 10.00 lakh for study within the Country and ₹ 20.00 lakh for study
abroad (Overseas Education Loan). 10% cost of course shall be borne by the
student as Promoter’s Contribution.
2.6 The corporation has fixed a limit of sanctioning max. 10 (ten) cases only for the
“Overseas Education Loan” each year, considering the financial status and
capability of handling the time-bound disbursement of sanctioned cases. The
education loan shall be extended only for pursuing full-time postgraduate
technical, professional, degree, or Ph.D. courses or higher education in the fields
of engineering, technology, medicine, pharmacy, management, etc. in which
there is a likelihood of getting employment immediately after completion of the
course. Girl students shall get priority.
2.7 Education Loan is available for pursuing full time courses in the Govt.
Institutes/ Govt. recognized Institutes. Courses conducted in off-campus basis
or distant learning courses or short-term skill development courses are not
entitled.
2.8 Education Loan shall not be available for courses run by Polytechnics, ITIs or
any other Govt./ Non-Govt. institutes which are below graduation level.
2.9 Education Loan shall not be available for studying Graduation, Post-Graduation
courses only except a few applied courses applicability of which shall be
determined by the Corporation from time to time.
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2.10 Applicable rate of interest: @ 5% per annum for boys and @ 4.5% per annum
for girls under SC & OBC categories [@ 6% per annum for boys and @ 5.5% per
annum for girls for abroad cases] & @6% per annum for boys & 5.5% per annum
for girls under Safai Karmachari communities.
2.11 Disbursement against sanctioned cases is done semester/ year wise as per
terms of the Institute through A/C payee cheque drawn in favour of the Institute
on behalf of the student or electronically through RTGS to the designated bank
A/C of the Institute.
2.12 Repayment starts after 6 months from completion of the course or getting
employment whichever is earlier. Principal with interest is repayable within a
period of 5 years in equal monthly installments after moratorium period of 6
months. Interest accrued during the period of study is paid by the Ministry of
HRD, GoI under prevailing Interest subsidy scheme. For repayment, students
have to execute a NACH mandate after moratorium so that EMI is remitted
electronically to the Corporation’s account automatically.
2.13 No Guarantor or collateral security is required for availing the Education Loan.
3. Application for Education Loan is received by the Corporation in the beginning of
new academic session during the month of August to October, every year. A brief
Notice is published declaring the schedule of receiving on-line application in the
Corporation’s portal https://wbbcdev.gov.in. Application in no other format is
acceptable.
3.1 Students will be able to create log-in credential for future use.
3.2 They are to take print out of the filled in application and download verification
certificate in prescribed format.
3.3 Downloaded Verification certificate is to be filled in manually and authenticated
by the Institute where he/she has taken admission.
3.4 Authenticated Certificate is to be scanned in pdf format and uploaded through
their log-in credential.
3.5 Only those applications which are complete in all respect and for which
Verification certificates have been uploaded by November shall be taken up for
sanction in the month of December.
3.6 Students can check status of their application and download sanction order
through their log-in.
4. Applicants should pay admission fees to the extent of 10% of the cost of the course or
fees for 1st semester and secure admission since the Corporation will disburse all fees
payable from 2nd semester onwards. Fees paid by the students shall be treated as
promoters’ contribution.
5. Insurance is compulsory for all cases which would be sanctioned by the Corporation
and the student has to bear the cost of insurance. Corporation has made an
arrangement for group insurance which ensures low premium but covers risks like
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death/ permanent in capacitance for 9/10 years from the commencement of course
till completion of repayment.
6. Applicants would be informed as soon as their application is sanctioned for appearing
in person along with one of the parents, preferably father, who will sign as co-
applicant of the education loan to complete formalities like signing loan agreement,
submitting all relevant documents. Applicants should carry original documents with
a photocopy as proof of (1) DOB, (2) Identity (like Aadhaar/ Voter Card), (3)
Educational Qualification, (4) Rank Card, (5) Caste Certificate/ Identity proof for Safai
Karmachari community, (6) Annual income, (7) Residence, (8) Admission letter/
receipt against payment of fees and (9) College Id/Bona fide Certificate etc.
7. The Corporation shall sanction 100 Education Loan applications, every year. These
100 cases shall be selected on the basis of merit as follows:
7.1 Applicants who scored at least 60% (SC & Safai Karmachari)/ 65% (OBC) in the
last qualifying exam (12th standard) shall be eligible to apply.
7.2 Selection will prima facie be on the basis of Rank secured by the Applicant in All
India/ State level Entrance Examination.
7.3 Applicants who have secured admission in Govt. Institutes through All –India or
State level Entrance Exam shall be given priority.
7.4 Ratio of Boy and girl students among the sanctioned cases shall be more or less
50:50 as far as practicable. However, girl students shall get priority.
7.5 Application made by students who secure admission under management quota
of directly shall not be entertained.
7.6 Annual target/quota for Education Loan will be as follows-
Annual Target/Quota
Category
Boys Girls Total
SC 35 40 75
OBC 10 10 20
Safai Karmachari 2 3 5
Total 100
If suitable girl candidates are not available, their quota will be filled up by suitable
boy candidates within the same category & vice versa. But in no way, quota of one
category will be filled up by other categories.
8. During selection, priority will be assigned on category of institute in which the
student secured admission in the following way-
I. Premier Institutes of the Country.
II. Government Institutes.
III. Government recognized Institutes.
9. Decision of the Corporation regarding sanctioning of education Loan application to
selected students shall be final and binding. Merely submitting on-line application
doesn’t confer any right or claim for sanction.
10. However, the Corporation reserves the Right to sanction or to reject any or all the
cases without assigning any reason whatsoever.
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Managing Director
WB SC, ST & OBC Development and Finance Corporation
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