The Bihar government has announced that all loans under its Student Credit Card Scheme will now be offered interest-free to students pursuing higher education.

Chief Minister Nitish Kumar said the revised policy, effective immediately, applies to students who have passed the Class 12 board examinations. Until now, loans of up to ₹4 lakh were available at an interest rate of 4 percent for general male applicants, and 1 percent for female, differently abled and transgender applicants.

“The loan will now be interest-free for all applicants,” Kumar stated in a post on X.

The repayment period has also been relaxed. For loans of up to ₹2 lakh, the instalment schedule has been extended from 60 to 84 months. For amounts above ₹2 lakh, repayment can now be spread over 120 months, up from 84 earlier.

Launched on 2 October 2016, the Student Credit Card Scheme is designed to improve access to higher education. Kumar said the new measures will encourage students to pursue further studies with “greater enthusiasm and dedication”, contributing to the development of Bihar and the country.

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