Finance is always a very important factor while deciding which institute to pursue. Education loans are particularly for under graduation & post graduation. Funding education is not easy for many families but because of funds, a talented should not be deprived of the education which they deserve. The Duration for Repayment of education loan varies from 10 years to 15 years whereas the interest rate of education loan varies from 9 to 16 percent.

 Vidya lakshmi is a single platform where students can avail information on loans offered by 34 banks. Following the IBA guidelines, the portal is operating under the aegis of the Department of Financial Services, Department of Higher Education and Indian Banks Association (IBA).

The basic objective of the scheme is to provide an easy and effective system of getting educational loans so that no student leaves his or her education mid-way due to lack of funds.

 Benefits of Vidya Lakshmi Portal Education Loan Scheme

  •  The students get information about educational loan schemes of banks.

  •   A common educational loan application form is available to students.

  •   There is a provision to apply to various banks for educational loans through a single form

  •   The site is linked to the national scholarship portal for information and to apply for government scholarships


  •  Students can view the status of their loan application at any time and at any place with easy access to the dashboard facility of the website.

  • Students can also send to the bank's e-mail grievances/queries for any kind of issues or difficulties relating to educational loans.

  •  Banks can also upload loan processing status.

  • Banks can also download student’s loan applications.

  How to apply for educational loan through the Vidya Lakshmi portal?

  •  Register yourself on the portal.

  • Fill up the Common Application form for scholarship referred as the Common Education Loan Application Form (CELAF). This form is prescribed by Indian Banks Association (IBA) and is accepted by all banks.

  • Based on the eligibility criteria, the portal itself suggests the various schemes for which a student is eligible.

  • ​ The applicant can now choose Educational Loan as per his/her requirements, eligibility and convenience.

  • Once registration is done and the CELAF is filled, you will be updated about your loan approval or disapproval on the portal. If your loan is approved, the loan amount will be transferred directly to your account. If your loan is disapproved, you have to contact the bank itself. You may also get an ON HOLD update on your loan status. It means that the bank requires more information from your end, which will be mentioned in the remark column. 

  Documents needed :

  1. Income Certificate from District Mamaltdar or 3 years ITR (ITRs filed on same day is not accepted.)

  2. Copy of House ownership, House (Aakarni patra),(take all the copies of documents relating to the house/immovable property)

  3. Rs.100 stamp paper - 08 nos.

  4. Allotment letter with fees breakup

  5. Other docs such as PAN, AADHAR, BANK STATEMENT, LIGHT BILL etc

  6. Guarantors ITR, Salary slip of 3 months (if employed)

Names of banks which have integrated their system with the online portal are:











 The students have the advantage of applying to three banks at a time. However, the interest rate will be as per the applicable rules of an individual bank. This reduces the student’s time of approaching different banks.


1. How has Vidya Lakshmi, as a one-stop platform, been able to address issues of education loan seekers?

Vidya Lakshmi is one of its kind portal for students to apply for educational loans. Just by filling up a single common education loan application form, students can apply to 3 banks of his/her choice at one time, thus making the process applying of education loan application transparent, fast and hassle free.

2. What difference has Vidya Lakshmi made, in the current market of education loan?

Earlier the student needed to visit a bank to bank to apply for Education loan. The process involved a lot of paper work. With Vidya Lakshmi, the process of Education loan application has become online thus it involves lesser paper work. The student can also send any grievances directly to bank in which he/she has applied for education loan online through the portal.

3. Is there any relaxation in interest rates, loan seekers get through this scheme? If no, how beneficial is the scheme?

Interest rates vary from bank to bank and depend on the loan scheme. A student can opt for any scheme of any bank of his choice.


4. What are the norms for defaulters?

Vidya Lakshmi Portal (VLP) provides a platform wherein students apply for loans to their preferred bank and bank processes and disburses the loan. Each Bank has its own set of norms for dealing with defaulters.

5. How much time does it take to approve and sanction the loan?

As per the IBA guidelines, loan should be processed within 15 days of receipt of duly completed application form with supporting documents and sanction/rejection should be communicated to the applicant.

 Kotak Mahindra Bank 

 Vijaya Bank

 Punjab and Sind Bank

 Bank of Baroda

 Andhra Bank

 Federal Bank

 HDFC Bank


 Axis Bank

 UCO Bank​

Bank of Maharashtra

Indian Overseas Bank

RBL Bank

Syndicate Bank

Abhyudaya Co-operative Bank Limited

DNS bank

Karur Vysya Bank

Tamilnad Mercantile Bank Ltd

Central Bank of India​

Indian Bank



Bank of India

Canara Bank

Union Bank of India

Corporation Bank

Dena Bank

Punjab National Bank

Punjab and Sindh Bank

Oriental Bank of Commerce

Merits & Demerits of Education Loan:

  • Education loan help to fund education and relieve the burden of finance. It provides a sufficient time duration for returning the amount.

  • The Paperwork which banks ask for providing education loan is very difficult to manage for a poor family. The interest rate is very high for some government and private banks. Education loan is given on the basis of institution student is getting enrolled, which mean institutes with less recognition cannot favor the student to opt education loan.

Important Notes : 

  • Registering under vidya lakshmi portal does not guarantee approval of Education loan.

  • The Duration of the loan process varies from 7 days to 90 days.

  • It is also advisable to approach the nearest bank and try with the offline method.

To visit Official Website of Vidya Lakshmi. 

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