Patna: Reports claiming a reduction in education loan support under the Bihar Student Credit Card Scheme have been rejected by the state government, which said students now have access to multiple institutional financing options.
Under the revised arrangement, students can receive up to ₹2 lakh through the Bihar State Education Finance Corporation, while financial assistance between ₹2 lakh and ₹4 lakh will be available through scheduled commercial banks.
More Financing Channels for Students
Earlier, the Bihar State Education Finance Corporation provided loans of up to ₹4 lakh. Under the new arrangement, the financing has been divided between the state corporation and banks.
The government said the move aims to connect the Bihar Student Credit Card Scheme with the Pradhan Mantri Uchchatar Shiksha Protsahan Yojana, PM Vidyalaxmi Portal and banking institutions.
Students can also access education loans of up to ₹10 lakh through the PM Vidyalaxmi scheme, giving them an additional route to finance higher education.
₹950 Crore Approved for 2026-27
The government has also pointed to expenditure figures to counter claims that financial support under the scheme has declined.
For 2025-26, the government approved ₹886 crore in expenditure under the Bihar Student Credit Card Scheme. For 2026-27, the approved amount has increased to ₹950 crore.
This represents an increase of ₹64 crore over the previous financial year.
The government said these figures show that the overall financial provision for the scheme has increased rather than declined.
Wider Access to Higher Education Finance
The expansion of financing channels is aimed at helping more students pursue higher education without facing financial barriers.
By connecting the state scheme with banks and the PM Vidyalaxmi platform, the government intends to create more institutional routes through which students can obtain education loans.
The approach also gives students access to different financing options depending on the amount of assistance they require and the applicable scheme.
Focus on Student Financial Support
The Bihar government said its objective is to make higher education financing easier and more accessible for students across the state.
The clarification comes amid reports suggesting that the loan support available under the Bihar Student Credit Card Scheme had been reduced. According to the government, the change represents a restructuring and expansion of financing channels rather than a reduction in overall support.
With the expenditure allocation rising from ₹886 crore to ₹950 crore and additional financing available through PM Vidyalaxmi, the government has emphasised its focus on expanding institutional financial support for higher education.
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