📷 Image: Wikimedia Commons / Shah zaman baloch
Education
Bihar Government Sets Rs 4 Lakh Ceiling on Student Credit Card Loans
✍️ India Today
🗓 22 Aug 2026, 03:37 AM
👁 5
The state government has revised student credit‑card loan guidelines, confirming a maximum borrowing limit of Rs 4 lakh per student.
The Bihar government has issued a clarification on its student credit‑card loan scheme, stating that the maximum amount a student can avail under the program is capped at Rs 4 lakh. The amendment comes after several inquiries from educational institutions and students seeking clarity on the permissible loan size.
According to the official notification, the Rs 4 lakh ceiling applies to each individual borrower and is intended to standardise the credit limits across the state’s higher‑education financing initiatives. The move aims to ensure that the loan facility remains affordable while supporting students’ tuition and related expenses.
State officials have urged banks and financial institutions to align their disbursement processes with the new limit and to provide transparent information to applicants. The clarification is part of Bihar’s broader effort to streamline educational assistance schemes and promote higher enrollment rates.
The government has not announced any changes to interest rates or repayment terms at this stage, focusing solely on the loan amount ceiling. Stakeholders are advised to refer to the updated guidelines for detailed eligibility criteria and application procedures.
According to the official notification, the Rs 4 lakh ceiling applies to each individual borrower and is intended to standardise the credit limits across the state’s higher‑education financing initiatives. The move aims to ensure that the loan facility remains affordable while supporting students’ tuition and related expenses.
State officials have urged banks and financial institutions to align their disbursement processes with the new limit and to provide transparent information to applicants. The clarification is part of Bihar’s broader effort to streamline educational assistance schemes and promote higher enrollment rates.
The government has not announced any changes to interest rates or repayment terms at this stage, focusing solely on the loan amount ceiling. Stakeholders are advised to refer to the updated guidelines for detailed eligibility criteria and application procedures.