Those in a debt trap after taking education loans can now breathe easy. The government has readied an Education Loan Repayment Support (ELRS) scheme to help loanees repay their debts.
The web portal for the scheme was launched in the presence of the Ministers for Finance, Education and Health here on Friday.
If the loan is yet to become a non-performing asset, the government would pitch in with 90% of the repayment amount. Following this, the government would pay 75, 50 and 25% of the loan amount each year. In the case of loans termed non-performing assets as on March 31 or before, 60% of the basic loan amount would be paid by the government
The entire loan amount would be borne by the government in the case of a borrower who suffers permanent disability, mentally or physically, due to disease or accident and those who die. In the case of loans of up to ₹7.5 lakh, the government would bear 50% of the remaining loan amount.
The submission of the application and all other processes would be done online. The portal is elrs.kerala.gov.in. After the candidate has logged on, he can upload the necessary certificates. The printout of the filled-in application should be produced at the bank. After the bank’s verification is over and the candidate pays his share, the government will pay the rest of the loan.
The annual family income of the applicant should be ₹6 lakh or below. Except in the case of nursing, those who secured admission in the management quota and the NRI seats would not come under the purview of this scheme.
