Latest Updates on Education Loan Cancellation News

Latest Updates on Education Loan Cancellation News

Hi folks. Education Loan Cancellation NewsTamil Nadu government has proposed to waive off education loan in its election manifesto. According to that, the government has to pay the education loan of people who are still unemployed.
Check out this post by bookmarking so that you could check updates regarding education loan cancellation news frequently. The election for legislative assembly was  held on 16th may, 2016 and the votes were counted on 19th May, 2016. Its more than 2 months and even there is no special news from the state government during the recent budget session which is quite disappointing. I know there are lot of problems in waiving the education loan but I personally feel that the government should release the progress to the public to keep the agitation off.

Education Loan Cancellation News Prediction:

There are more chances for the government to take some smart move like what they did with farm loans. In their manifesto, the party has promised to waive of all farm loans which are from central cooperative banks, Primary Agricultural Cooperative Credit Societies, Primary Cooperative Agriculture and Rural Development Banks and Urban Cooperative Credit Societies. This move by the government will benefit only to marginal and small farmers. So what is the benefit for marginal and small farmers who got their loan from nationalized banks or private banks? Obviously Nil.

The government already claims that this education loan waiver will be applicable to unemployed people only. One common question, how the government is going to declare a person as unemployed? Secondly, some unemployed people may got support from their family/friends to repay their EMI. If the government decides to waive off education loan which are categorized under Non performing assets (NPA) with no no repayment history then what is the benefit for those sector of people. Should they lose benefits for trying to being good. Further, there are chances for the government to filter benefits by fixing upper limits for loan (for an example let us say Rs 200000). Then i’m afraid how many people is going to be benefited.

As discussed in my previous post, what actions the government will take to stop the transfer of education loan to assets reconstruction companies by popular banks? Whether government will waive off the loans which are transferred to private companies also? Lets wait and see.

Outcome of delay in waiving education loan

Already, many banks are hesitating to grant education loan as its future is not defined by the government which in turn create hardship for elite students to avail loan for their higher studies.

I welcome you to have a healthy discussion regarding Education Loan Cancellation News by showing your views by commenting below. Share this post is you like.

Latest Updates:

28/07/2016: First Victim Whose Education Loan is transferred from SBI to Reliance ARC

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