Archive · 5 Aug 2026

PM Vidyalaxmi Scheme Offers Collateral-Free Education Loans to Indian Students

PM Vidyalaxmi Scheme Offers Collateral-Free Education Loans to Indian Students

Growing up, many students worry about how to pay for college.

In India, the government has a program called PM Vidyalaxmi to help them.

It gives students loans for education without asking them to pledge a house or land.

Normally, banks want something valuable as a guarantee, but here it is not needed.

Students can borrow up to Rs 7.5 lakh, and the government backs 75% of the loan.

If a student's family earns up to Rs 8 lakh a year, the student gets a 3% discount on interest.

Families earning up to Rs 4.5 lakh a year can get the interest paid fully by the government.

Students apply online through the PM Vidyalaxmi Portal.

The loan money is given through the Digital Rupee wallet.

This way, deserving students can continue studying even if their families do not have much money.

Sources