A Guide to Claim Education Loan Subsidy

Posted In education loan On April 12, 2019
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The interest part of the loan is eligible for the subsidy from the Government of India. For students whose gross income is up to 4.5 lakhs per annum, the CSIS scheme waives the entire interest that is required to be paid during the moratorium period. The Education loan subsidy claim requires the following documents-

  1. Copy of the Aadhar Card.

  2. Income certificate issued by the Income Certifying Authority.

  3. Proof of the Education loan taken.

  4. The most recent ITR filed.

According to the official data 2,51,7308 students have benefitted from the CSIS scheme which was launched in the year 2009. Bank managers are supposed to identify eligible borrowers and submit their claim for Education loan subsidy through the Canara Bank’s Portal. Students are also advised to ensure that the bank submits the subsidy claim within the specified date.

The subsidy on Education loan in India can be claimed when one starts to pay the Simple Interest (SI) either during the course tenure or after completion of the course and can be availed during the entire tenure of Simple Interest repayment. Your company’s HR department must be aware of the loan taken for less TDS to be deducted from your salary.
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