Date:14/11/2008 URL: http://www.thehindu.com/2008/11/14/stories/2008111455530600.htm

Tamil Nadu

Education loan for minority students

Staff Reporter

Forms to be submitted to tahsildar

ARIYALUR: The district administration has invited applications for education loans from eligible candidates belonging to the minority communities: Muslim, Christian, Sikh, Buddhist, and Parsi.

An applicant in the age group between 16 and 32 years wishing to pursue professional or equivalent programme in government-approved institutions will be given a maximum of Rs. 2.5 lakh in lieu of guarantee over a five-year period at 3 per cent interest through the Tamil Nadu Backward Classes and Minorities Economic Development Corporation Ltd., Collector R. Sudalaikannan said, chairing an advisory meeting on Tuesday to discuss the scheme implementation.

The meeting was attended by Project Officer of Mahalir Thittam A. Pandian, Joint Registrar of Cooperatives M. Palanivelu and District Backward Classes Welfare Officer S. Srinivasan.

Repayment will commence six months after completion of education or the date of posting in a job whichever is earlier.

In case a beneficiary discontinues the academic programme, he/she will have to repay the entire amount loaned till then along with the interest in a single instalment with immediate effect.

Aspirants can submit hand-written applications and copies of community certificate, school transfer certificate, income certificate, proof of residence, qualification, and fee details of college to the tahsildar concerned before November 15, the Collector said.

Business loans

Loans will be forwarded to these community members for income generation at six per cent interest.

For small trade, loans ranging between Rs. 10,000 and Rs. 25,000 will be given.

Those intending to start industries or bigger businesses will be given a maximum loan of Rs. 5 lakh each, based on the project report.

This loan is also applicable to women self-help groups, even if they had obtained earlier loans as revolving fund. Applications made by eligible beneficiaries under this scheme last year were on the verge of sanctioning and hence there is no need for them to re-apply.

The annual income of applicant should not exceed Rs. 39,500 in case of residents of villages and Rs. 54,500 for those in urban areas.