Bihar makes student credit card loans interest-free

The Bihar government has announced a major relief for students by making loans under the Student Credit Card (SCC) scheme interest-free, a move aimed at reducing financial stress and promoting higher education.

Launched in 2016, the SCC scheme allows students to avail loans up to ₹4 lakh for pursuing higher education, vocational training, or professional courses. Earlier, while the government subsidized a large part of the interest, students were still required to bear some financial burden after the moratorium period. With the latest decision, the loans will now be completely interest-free, ensuring that students only repay the principal amount.

Officials stated that the new policy will especially benefit students from economically weaker backgrounds, enabling them to pursue technical, medical, and management courses without worrying about accumulating debt. The government will bear the interest component, which is expected to encourage more students to opt for higher studies within and outside the state.

Education experts have welcomed the move, noting that it will bridge the gap in access to quality education and contribute to the state’s long-term development. Students and parents have also expressed relief, calling the decision a “game-changer” for Bihar’s youth.This initiative reaffirms Bihar’s commitment to empowering its young generation through education.