PM Vidyalaxmi Scheme 2025 is a government scheme that supports students in India who want to continue their higher education but face money problems. This scheme offers education loans without needing collateral or guarantors, helping students study at quality higher education institutions across India.
Overview of the PM Vidyalaxmi Scheme
PM Vidyalaxmi Scheme 2025 was started by Prime Minister Narendra Modi’s government to provide easy and affordable education loans to deserving students. Based on the National Education Policy 2020, the scheme aims to help students in both public and private higher education institutions (HEIs) pursue quality education without financial stress. Through this scheme, students admitted to top-ranked institutions can get loans to cover tuition fees and related expenses.
Objective of PM Vidyalaxmi Scheme
The main goal of this scheme is to make sure that students with money problems do not have to stop chasing their education dreams. Around 22 lakh students may benefit each year. Under the scheme, students can get a loan up to ₹7.5 lakh with a 75% credit guarantee from the government. Also, families earning up to ₹8 lakh yearly get a 3% interest subsidy on loans up to ₹10 lakh, making studying affordable for more students.
Summary of PM Vidyalaxmi Scheme 2025
| Scheme Name | PM Vidyalaxmi Scheme |
| Launched By | Government of India |
| Beneficiaries | Students pursuing higher education |
| Loan Amount | Up to ₹10 lakh |
| Application Mode | Online |
| Year | 2024-25 (Updated for 2025) |
| Expected Number of Students | 22 lakh per year |
| Official Website | To be launched soon |
Budget for the Scheme
The government has set aside around ₹3600 crore to make sure this scheme reaches many deserving students.
Who Can Apply? Eligibility Criteria
- Applicant must be a permanent resident of India.
- The student should have secured admission in a quality higher education institution (QHEI) listed under the scheme.
- Candidate must have passed 12th standard exams.
Benefits of PM Vidyalaxmi Scheme 2025
- Loans up to ₹7.5 lakh get a 75% credit guarantee from the Government of India, helping banks provide more loans.
- Students from families earning up to ₹8 lakh per year get a 3% interest subsidy on loans up to ₹10 lakh.
- The scheme supports about one lakh students annually with interest subsidy.
- Priority is given to students from government institutions and those pursuing technical or professional courses.
Number of Beneficiaries
About 22 lakh students are expected to benefit every year under this scheme.
Participating Educational Institutions
This scheme covers all government and private higher education institutions ranked among the top 100 overall, category-wise, or domain-wise by the National Institutional Ranking Framework (NIRF). It also includes state government institutions ranked 101–200 and all centrally controlled institutions listed in the NIRF rankings.
Loan Details and Interest Benefits
Students from families with annual income up to ₹8 lakh can get a loan up to ₹10 lakh with 3% interest subsidy. Those from families earning up to ₹4.5 lakh will receive a full interest subsidy. The government provides a 75% credit guarantee on loans up to ₹7.5 lakh to help banks offer more student loans.
AICTE Chairman Prof. @SITHARAMtg praised the Cabinet’s approval of the PM Vidyalaxmi scheme as a game-changer, making sure no deserving student is held back by money issues while pursuing higher education. pic.twitter.com/eKj8KlNTaP — AICTE (@AICTE_INDIA) November 6, 2024
Main Features of PM Vidyalaxmi Scheme
- The scheme will run through a simple and fully digital platform friendly for students.
- Loans up to ₹10 lakh get 3% interest subsidy for families earning up to ₹8 lakh annually.
- The budget is about ₹3600 crore, aiming to benefit 7 lakh fresh students initially.
- The unified portal “PM-Vidyalaxmi” will handle education loan applications and interest subsidy requests.
- Students admitted to any of the top 860 quality higher education institutions will qualify for loans under this program.
- Government provides 75% credit guarantee on loans up to ₹7.5 lakh, helping banks support more students.
Documents Needed to Apply
- Aadhar Card
- Email ID
- Mobile Number
- Marksheet of Class 11 and 12
- Admission Letter
- Residential Proof
- Bank Account Details
- Passport Size Photographs
How Selection Works
- Applicants must meet all eligibility rules and be permanent residents of India.
- Students with admission in eligible higher education institutions will be eligible for loans.
Union Cabinet has approved PM Vidyalaxmi, a new Central Sector scheme, to provide financial help to meritorious students admitted in India’s top 860 quality higher education institutions. This scheme makes sure money problems don’t stop any deserving student from getting quality higher education. pic.twitter.com/xD30q6e17O — Ministry of Information and Broadcasting (@MIB_India) November 6, 2024
How to Apply Online for PM Vidyalaxmi Scheme 2025
The Department of Higher Education will launch a unified online portal named “PM-Vidyalaxmi” where students can apply for education loans and interest subsidies. The expected application steps are:
- Visit the official PM Vidyalaxmi scheme website.
- Click on the ‘Apply Now’ button on the homepage.
- Fill in your details like full name, address, email ID, mobile number, etc.
- Upload all necessary documents.
- Enter the Captcha code and submit the application form.
Useful Links and References
Frequently Asked Questions
What is PM Vidyalaxmi Scheme?
A government scheme to provide education loans to talented students for higher education without money worries.
Who can benefit from this scheme?
Students admitted to top quality higher education institutions across India.
What are the eligibility criteria?
Applicants must be Indian residents, have admission to eligible institutions, and have passed 12th class exams.
Can I apply online?
Yes, the scheme supports online applications through its official portal.