PM Vidyalaxmi Yojana 2024 has been approved by the Union Cabinet, under which financial assistance will be offered to eligible students. This will ensure that no youth will be hindered in getting a better higher education due to financial difficulties. PM Vidyalaxmi Scheme launched by Prime Minister Narendra Modi has brought a new opportunity for students. This scheme has been specially designed keeping in mind those students who are looking for financial assistance to pursue higher education.

Although it is a financial assistance scheme like education loans, this scheme is different from traditional education loans in many ways. Let us know how PM Vidyalaxmi Yojana is different from an 'Education Loan' and what its benefits are.

Pradhan Mantri Vidyalaxmi Yojana is an initiative of the Government of India, which aims to provide easy financial assistance to students for higher education. Under this scheme, students can access scholarships, loans, and other financial services. This scheme allows Indian students to get the monetary assistance required for higher education abroad and also domestically.

On the other hand, an education loan is a loan given to students by banks or other financial institutions for their higher education. This loan is provided to cover tuition fees, books, accommodation, travel, and other expenses related to various educational institutions. This loan is usually repaid within a fixed period, and interest is also attached to it.

PM Vidyalakshmi Yojana provides not only loans but also scholarships. Along with education, students also get other financial assistance services under this scheme, such as bank loans, scholarships, and loan concessions. On the other hand, an education loan only provides a loan facility, which has to be repaid later with interest. There is no provision of scholarship in it.

Under the PM Vidyalakshmi Yojana, students can get special concessional interest rates, as it is funded by the government. The objective of this scheme is to provide loans to students at low interest rates so that they can easily complete their education. At the same time, the interest rates on education loans are decided by the bank or financial institution. Although there may be some concessions on the loans provided by the government, usually the interest rate is high.

In the PM Vidyalakshmi Yojana, students get the opportunity to apply for various loans and scholarships in one place. For this, a centralized online portal has been arranged, from where students can apply for loans and scholarships from various institutions. At the same time, the application process for education loans varies in different banks. In this, most banks have their own specific eligibility conditions and application process. Students have to follow the terms and conditions of a certain bank to get a loan from it.

PM Vidyalakshmi Yojana provides financial assistance to students for various education expenses, including tuition fees, living expenses, travel expenses, books, and other necessities such as laptops/computers. At the same time, education loans are mainly provided by banks to students to cover tuition fees, coaching fees, book expenses, hostel fees, and other related expenses. Loans are also provided by some banks for laptops and other equipment, but it depends only on the policies of some banks.

The loan repayment process under PM Vidyalakshmi Yojana is simple and flexible. Along with this, students get the ease of repaying the loan after completing education, or in some cases during education. Some schemes offer concessions and the loan repayment period can be longer. At the same time, the loan repayment process under an education loan usually starts after the student completes his education. In this, a "cooling period" is given to the student by some banks, but it comes with strict rules for repaying the loan. Along with this, interest rates are also applicable.

The loan amount under the PM Vidyalakshmi Yojana is determined according to the education institute and course of the students. This scheme provides sufficient funds to meet most educational needs. However, the loan amount in education loan is decided by the bank, and this amount is usually according to the educational needs of the students. In some cases, students can get higher loan amount for higher education.