Till date the government has not received any claim from banks for refund associated with the interest subsidy scheme on education loans. There are fears that the new scheme may have failed to achieve the target as was anticipated from it.
The HRD ministry has obtained complaints from students and no claims from banks. The ministry ultimately had to talk with the finance ministry and requested it to intervene on the subject.
In the interest subsidy scheme, the government had stated that it bear the interest on education loans through the years of education and suspension period for students whose family income was below Rs 4.5 lakh per year.
The letter written by the HRD ministry to the finance ministry says, “The scheme is effective from the academic year 2009-10 and this ministry has not received any claim from the member scheduled banks so far.”
A source says, “Banks are usually prompt to claim their due and we are concerned about the implementation of the scheme. The details of claims – if any – will at least tell us how far the scheme has been implemented and how many students it has benefited”.
bank employees are overloaded with the work of receiving Agreement forms ,calculating the subsidy etc that i s why the delay in submitting the claim by banks .Govt clarification for eigible courses in detail is required .Moreover Govt could have considered interest subsidy for arts and science degree courses also FOR REALLY HELPING THE POOR STUDENTS