Vocational Education and Training Loan Scheme

Brief
The Vocational Education and Training Loan Scheme is a Government of India initiative designed to provide financial assistance in the form of affordable loans to students pursuing skill development and vocational training courses. The scheme aims to promote employability, entrepreneurship, and industry-relevant skills by enabling learners to access quality vocational education without financial constraints. 

Objectives 

The Vocational Education and Training Loan Scheme provides financial assistance to the youth of the target group to enhance their skills and employability. 

Eligibility Criteria
Beneficiary group: Applicant must belong to the target group of NSKFDC
Admission requirement: Must have secured admission in a government-run or government/NSDC/State Skill Mission–supported vocational course leading to a recognized certificate, diploma, or degree
Course duration: Minimum 6 months and maximum 2 years
Age limit: 18 to 50 years (minimum 18 years on completion of the course)

Benefits 

Loan amount: Need-based finance up to 90% of course cost, subject to a maximum of ₹4,00,000 (for courses up to 2 years)
Cost overrun: Any excess cost to be borne by the beneficiary
Interest rate: 

-  4% per annum for beneficiaries 

- 0.5% interest rebate for women beneficiaries 

- Repayment period: Up to 7 years