Nitish Kumar Announces Interest-Free Education Loans Under Bihar Student Credit Card Scheme

Chief Minister Nitish Kumar has announced a major reform in the Bihar Student Credit Card Scheme (BSCCS), a flagship initiative launched in 2016 under the "Saat Nischay Yojana." Ahead of the Assembly elections, the scheme has been made more student-friendly, offering interest-free loans to all students pursuing higher education.

Until now, general applicants paid 4% interest on loans, while women, differently-abled, and transgender students were charged 1%. With the latest decision, the interest rate has been reduced to zero for everyone, enabling students to borrow up to ₹4 lakh without financial stress.

Easier Repayment Terms

The repayment window has also been extended to ease the burden on graduates. For loans up to ₹2 lakh, students will now get 7 years (84 EMIs) instead of 5 years. For loans above ₹2 lakh, the repayment period has been increased to 10 years (120 EMIs), compared to the earlier 7 years.

Sharing the update on social media, Nitish Kumar said, "No student in Bihar should be deprived of higher education due to lack of money. This decision will boost their confidence and allow them to study with full dedication."

Encouraging Higher Education

The Chief Minister emphasized that the reform would not only uplift students but also contribute to the development of Bihar and the nation. The scheme, which has supported thousands of families since its launch on 2 October 2016, is aimed at improving college enrollment rates and nurturing young talent from economically weaker backgrounds.

With these sweeping changes, the state government hopes to remove financial barriers to higher education, ensuring that more students pursue their academic aspirations and contribute to Bihar's growth story.