Education loan moratorium period
muhammed rasik
(Querist) 20 February 2014
This query is : Resolved
Sir/madam
I have taken education loan at 2004,loan principal amount 2.1 lakh. I have paid the total interest 1.1lakh. Now the outstanding balance showing 3.3lakh. In 2014 interim budget mr.chidambaram announced moratorium period for all education loan upto march 31. What does it mean? And please clarify howmuch I have to repay.
Thank you
R.V.RAO
(Expert) 20 February 2014
In the interim budget, finance minister, P Chidambaram said that the government pay for interest component on loans students had availed loans prior to end of March 2009 and if it is outstanding as on December 2013. Chidambaram said that the centre would allocate Rs 2600 crore and about 9 lakh students would benefit with this move.
Unlike now, students from economically weak section, who borrowed prior to 2009 were not provided interest subsidy scheme.
"Those from economically weak section who borrowed prior to end March 2009 and have loan outstanding as on end March, 2013, will benefit from the interim budget announcement as their interest burden for this period will be borne by the government," said M V Tanksale, CEO of Indian Banks' Association.
so in your case, your interest( on edu.loans taken upto 31/3/09) outstanding till 31/12/13 , will be paid by govt TO BANKS WHO EXTENDE EDU.LOANS .
do not talk about what u already paid.
assess what is the interest now payable as on 31/12/13.say x amount.now x amount will be paid by govt.
However, such student-borrowers – estimated to be in the vicinity of nine lakh -- would have to pay interest for the period beginning January 1, 2014.
SO IT IS WAIVER OF OLD AND OUTSTANDING PERIOD INTEREST ONLY TILL 31 DEC 2013.
STARTING AFRESH FROM 1ST jAN 2014,YOU NEED TO PAY INTEREST ON THE LOAN AS USUAL.
PLUS OF COURSE, PRINCIPAL EDU.LOAN IS ALSO TO BE PAID BY YOU ANY WAY AS THE EDU.LOAN IS NOT WAIVED.
Rajendra K Goyal
(Expert) 21 February 2014
Well advised by the expert KV RAO ji, agree to it.
T. Kalaiselvan, Advocate
(Expert) 22 February 2014
The moratorium means waiver of interest upto certain period on education loans, see where do you stand for the eligibility.
muhammed rasik
(Querist) 05 March 2014
Explained well.Thank you RV RAO sir
