Do not let a disability block your way to success. If you are looking for the right instruments to nurture your growth, here’s everything you will need.
Had Oscar Pistorius stopped dreaming after both his legs were amputated, he would never have set a world record in the Olympics. Had Stephen Hawking given up on science after he realised he would be paralysed for life, history wouldn’t have been made. The same is true for the countless, faceless others who are looking past their disability every single day in search of something meaningful.
In India, the Rights of Persons with Disabilities Act, 2016 was passed to help people with disability find easier access to amenities which can earn them a livelihood and improve their quality of life. With the policies and reforms getting more inclusive, it’s time to think ahead and take a quantum leap forward.
Additional Reading: Get Insured Against Disability
Loan Facilities For Those With Physical Disabilities
Recognising the need to support and empower those in need, many government entities are offering special loans at concessional rates. These loans involve minimal paperwork and are generally easy to get.
- National Handicapped Finance and Development Corporation (NHFDC)
NHFDC has a range of security-free low-interest loan schemes for the education and empowerment of those in need. Some of its major schemes are:
- Micro-Financing Scheme
What Is It For?
The micro-financing scheme aims to provide help to individuals with a disability so that they can start their own business and sustain themselves financially.
Maximum Loan Amount
In case of a loan granted to an NGO (either through SCA or directly by NHFDC), the maximum loan amount shall be limited to Rs. 10 lakh and the maximum amount of loan to a beneficiary will be limited to Rs. 50,000.
Eligibility
In order to be eligible for this loan, individuals need to be:
1) Indian citizens above 18 years with more than 40% disability
2) (Preferably) A member of Thrift and Credit Group
Apart from these, the relevant education, qualification and experience will also be useful when the eligibility for the loan is determined.
Tenure and Rate Of Interest
The loan will be available for 3 years with quarterly repayment facility.
The rate of interest is fixed at 5% per annum.
Scheme For Vocational Education And Training
What Is It For?
This scheme offers financial help to individuals with a disability to ensure that they receive vocational education and training.
Maximum Loan Amount
The maximum loan amount is capped at Rs. 2 lakhs for this scheme.
Eligibility
1) Indian citizens above 18 years with more than 40% disability
2) Relevant education, qualification and experience
3) Other criteria as per the norm and policy of NHFDC Education Loan
Tenure And Rate Of Interest
The loan will be available for up to 7 years from the date of commencement.
The rate of interest will be decided as per the current NHFDC Education Loan scheme.
Additional Reading: Understanding the nuances of disability insurance
Scheme For Financial Assistance For Skill And Entrepreneurial Development
What Is It For?
This scheme offers training to individuals with a disability to make them self-dependent and self-reliant.
Maximum Loan Amount
100% of the total recurring cost of the training programme.
Eligibility
1) Indian citizens within the age group of 15 to 50 years.
2) Should fulfil all other applicable criteria for NHFDC loans.
Tenure Of The Loan
The loan will be available throughout the duration of the training.
Scheme of financing construction of commercial/business premises for starting self-employment activity to PwDs
What Is It For?
This scheme is intended to help individuals with a disability from the weaker sections of the society so that they can get started with self-employment activities.
Maximum Loan Amount
The maximum loan amount has been capped at Rs. 3 lakhs.
Eligibility
1) Indian citizens above 18 years with more than 40% disability.
2) Should fulfil all other applicable criteria for NHFDC loans.
Tenure And Rate Of Interest:
The loan will be available for 10 years from the date of commencement
The rate of interest will be calculated in the following manner:
| Loan Amount (Rs.) | Rate Of Interest (%) |
| Up to 50,000 | 5% |
| 50,000 – 3,00,000 | 6% |
Additional Reading: Your Guide To Accidental Death & Disability Riders
Scheme Of Financing Assistive Devices To Enhance The Employability Or Increased Opportunity Of Self-Employment Of Persons With Disability
What Is It For?
This scheme is intended to help individuals with a disability find the right financial assistance to purchase assistive devices.
Maximum Loan Amount
The maximum loan amount has been capped at Rs. 5 lakhs.
Eligibility
1) Indian citizens above 18 years with more than 40% disability.
2) Should be employed with a renowned organisation or must have a legitimate appointment letter.
Tenure And Rate Of Interest:
The loan will be available for 5 years from the date of commencement.
The rate of interest will be calculated in the following manner:
| Loan Amount (Rs.) | Rate Of Interest (%) |
| Up to 50,000 | 5% |
| 50,000 – 5,00,000 | 6% |
Scheme For Young Professional
What Is It For?
This scheme is intended to help individuals with a disability who are unemployed despite having the necessary educational qualifications.
Maximum Loan Amount
The maximum loan amount has been capped at Rs. 25 lakhs.
Eligibility
1) Indian citizens above 18 years with more than 40% disability.
2) Should have a professional degree from a recognized educational institute.
Tenure And Rate Of Interest
The loan amount has to be repaid along with the accrued interest within 10 years from the date of commencement.
The rate of interest will be calculated in the following manner:
| Loan Amount (Rs.) | Rate Of Interest (%) |
| Up to 50,000 | 5% |
| 50,000 – 5,00,000 | 6% |
| 5,00,000 – 15,00,000 | 7% |
| 15,00,000 – 25,00,000 | 8% |
Women applicants will receive an additional discount and the rate of interest will be calculated in the following manner:
| Loan Amount (Rs.) | Rate Of Interest (%) |
| Up to 50,000 | 4% |
| 50,000 – 5,00,000 | 5% |
| 5,00,000 – 15,00,000 | 6% |
| 15,00,000 – 25,00,000 | 7% |
Contact Details
National Handicapped Finance and Development Corporation (Ministry of Social Justice & Empowerment)
Red Cross Bhawan,
Sector-12, Faridabad – 121007
Number: (0129) 2287512, 2287513, 2280214, 2280335, 2264841
TeleFax: (0129) – 2284371
E-mail: nhfdc@nda.vsnl.net.in
Website: http://www.nhfdc.org
- Bank Of India
Bank of India, like NHFDC, has a host of offerings to help individuals with disability find their feet.
BOI Star Mitra Personal Loan
What Is It For?
This scheme is intended to help individuals with disability purchase high-quality instruments or appliances which would help them manage their lives better. The insurance and processing charges on these loans are waived.
Maximum Loan Amount
The maximum loan amount would depend on the fulfilment on either of the following criteria:
- Salaried individuals are eligible to get at least 10 times of their net salary as the maximum loan amount.
- Self-employed individuals will get 50% of their net annual income as the maximum loan amount.
- For minors, the eligibility will be decided on the basis of the income of the parents or legal guardians.
Eligibility
1) Indian citizens with more than 40% disability can apply for this loan.
2) Should have a professional degree from a recognised educational institute.
3) The loan will be offered to salaried or self-employed individuals only.
4) Minors can also apply for the loan with the help of their parents or legal guardian.
Tenure Of The Loan
This loan can be availed for a duration of 1-5 years, based on the convenience and preference of the borrower. The tenure will start after one month of the full disbursement of the loan or after three months of complete disbursement.
Contact Details
Bank of India
STAR HOUSE
C – 5, “G” Block,
Bandra Kurla Complex,
Bandra (East),
Mumbai 400 051.
Phone: 022-66684444
Email: HeadOffice.GOD@bankofindia.co.in
Website: http://www.bankofindia.com
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