Education Loan Scheme under NSKFDC, Haryana

What is the Education Loan Scheme under NSKFDC in Haryana?

Education Loan Scheme under NSKFDC is a concessional student loan offered in Haryana by the Haryana Scheduled Castes Finance and Development Corporation (HSFDC) acting as the state channelising agency of the National Safai Karamcharis Finance and Development Corporation (NSKFDC). According to HSFDC, the loan is given to students of the safai karamchari community and their dependants so they can pursue full-time professional or technical education.

NSKFDC was set up in January 1997 to help manual scavengers, safai karamcharis and their dependants move away from a traditional occupation into work with better prospects. The education loan is the part of that mandate aimed at the next generation: instead of financing a business, it finances a degree.

HSFDC itself is a wholly government-owned company registered on 2 January 1971, with a 51% state share and a 49% central share, working under the SEWA department. It runs bank tie-up schemes, NSFDC-assisted schemes for Scheduled Caste families, and NSKFDC-assisted schemes for safai karamcharis. This loan sits in the third group.

What the loan covers, as listed by the corporation:

• Admission fee and tuition fee
• Books, stationery and equipment required for the course
• Examination fees
• Boarding and lodging expenses
• Insurance premium for a policy covering the borrower against death or permanent disability
• Travel expenses and passage money for study abroad
• Caution money, development fund and similar charges

The loan is routed through the state channelising agency to the recognised educational institution where the student has taken admission. For foreign study, only institutions duly recognised by the concerned authorities are considered.

Who is eligible for the NSKFDC education loan in Haryana?

You can take this loan if:

• You are a safai karamchari, or a dependant of a safai karamchari. HSFDC defines a safai karamchari as a person engaged in or employed for any sanitation work, and the definition includes their dependants.
• You can produce a safai karamchari certificate or dependant certificate from an authority of the specified rank.
• You have secured admission to a regular full-time recognised professional or technical course in India or abroad.
• You can furnish a guarantee, either an immovable property mortgage or the surety of a government employee.
• You are not a defaulter of the corporation or of a bank.

There is no income limit. HSFDC states explicitly that NSKFDC schemes have no income ceiling and that occupation alone is the criterion for eligibility. This is the single biggest difference from the parallel NSFDC education loan, which caps annual family income at Rs 3 lakh.

You cannot apply, or are not eligible, if:

• You are not a safai karamchari or a dependant of one. Caste alone does not qualify a person here; Scheduled Caste students outside the sanitation occupation should apply under the NSFDC education loan instead.
• You are a defaulter of the corporation or a bank.
• You have already taken an education loan from another bank or financial institution for the same course. A declaration on this point is compulsory.
• You already run another similar unit financed by the corporation. An undertaking to the contrary must be given.
• You cannot arrange the required guarantee.
• You are enrolled in a distance, correspondence or part-time programme, or at an unrecognised institution.
• You have already used the education loan once at the same level. It is admissible only once at diploma/graduation level or at post-graduate diploma/post-graduation level, with integrated long-duration courses the sole exception.

Which courses qualify for the NSKFDC education loan?

HSFDC lists recognised regular full-time courses in India or abroad, including:

• Engineering; diploma, B.Tech, B.E., M.Tech, M.E.; Architecture: B.Arch, M.Arch
• Medical; MBBS, MD, MS; Dental: BDS, MDS
• Pharmacy, B.Pharma, M.Pharma
• Biotechnology, microbiology and clinical technology at diploma or degree level
• Physiotherapy, pathology and nursing: B.Sc or M.Sc
• Information technology — BCA, MCA
• Management and hotel management: BBA, MBA; hotel management and catering technology at diploma, graduate or postgraduate level
• Law: LLB, LLM; Education, CT, NTT, B.Ed, M.Ed
• Physical education; CPEd, B.PEd, M.PEd
• Journalism and mass communication at graduate or postgraduate level
• Geriatric care and midwifery diplomas, laboratory technician diploma
• Chartered Accountancy, Cost Accountancy (ICWA), Company Secretaryship
• Actuarial science, AMIE and equivalent associate memberships
• Doctoral study leading to M.Phil or PhD at recognised institutions

Job-oriented sanitation-linked courses such as Sanitary Inspector training also fall within the NSKFDC education loan brief.

How much is the loan and what does it cost?

Repayment terms published by HSFDC

• Interest recovery starts on the day of disbursement.
• Principal recovery starts 12 months after completion of the course or after getting employment, whichever is earlier. This is a longer grace period than the 6 months allowed under the NSFDC education loan.
• The loan is repayable within 5 years from that starting point, with the instalment period set according to the course duration.
• Penal interest of 4% a year applies over the normal rate on default, and begins 30 days after a default.
• The student's diploma or degree carries a tag indicating the repayment liability.
• Sanction is at the NSKFDC level, so a file travels from the District Manager to HSFDC headquarters and then to NSKFDC before the loan is released.

How to apply for the NSKFDC education loan in Haryana

1. Confirm the scheme is open. The HSFDC website currently displays the NSKFDC education loan as not active. Check hscfdc.org.in or call 0172-2584438 before you spend time collecting documents.
2. Obtain the safai karamchari or dependant certificate first. This is the document that decides eligibility and takes the longest to get, so start with it rather than leaving it for last.
3. Register and fill the loan application form online, either through the HSFDC website. The corporation says loan application forms are available on its website and can be filled online, or through Antyodaya Saral at saralharyana.gov.in, which HSFDC points citizens to for NSFDC and NSKFDC loans.
4. Upload the supporting documents, including the admission confirmation with the annual fee and payment schedule, accreditation status of the course and institution, residence certificate, Aadhaar, prospectus and school leaving certificate.
5. Submit and keep the acknowledgement. Applications are scrutinised and verified by the District Manager of the corporation to confirm the genuineness of the beneficiary.
6. Arrange the guarantee and insurance when the case advances: either an immovable property mortgage or a government employee surety.
7. Wait for NSKFDC sanction, after which HSFDC issues the sanction to disburse the loan to the institution.

How to apply through the district office

1. Visit the District Manager, HSFDC in your district with the safai karamchari certificate and the admission letter. District office details are published on hscfdc.org.in.
2. Complete the loan application form and submit the full file with all annexures, then collect an acknowledgement.
3. Follow up on the field verification, which is the stage where the District Manager confirms the applicant's occupation and dependency status.

The corporation also fills and collects loan applications at credit camps and open darbars organised under Deputy Commissioners and Additional Deputy Commissioners.

How do I check the status of my application?

Use the application status page on hscfdc.org.in with your acknowledgement number, or track the service on saralharyana.gov.in using the Saral ID. Since final sanction rests with NSKFDC in Delhi, a case can remain at the headquarters stage for a considerable period; the District Manager can tell you where the file actually is.

Why do NSKFDC education loan applications fail?

• Safai karamchari certificate issued by the wrong authority. The rank and office of the issuing authority are specified, and certificates from officers below that rank are rejected. This is the most common cause of failure.
• No acceptable guarantee. Neither an immovable property to mortgage nor a government employee willing to stand surety is easy to arrange, and files stall here.
• Course or institution not recognised, or the programme is distance mode.
• Existing education loan from a bank for the same course.
• Defaulter status with HSFDC or a bank.
• Second loan at the same level for a student who already used the facility.
• Admission letter without a fee schedule, so the loan amount cannot be worked out.

Grievance and contact

• HSFDC head office: Kalyan Bhawan, Bay No. 53-54, Sector 2, Panchkula 134109, Haryana.
• Helpline: 0172-2584438, 9 am to 5 pm, Monday to Friday, excluding government holidays.
• Email: hsfdc2427@gmail.com
• Antyodaya Saral scheme queries: 0172-3968400, 7 am to 8 pm, Monday to Saturday.
• District Manager, HSFDC, for anything specific to your file.

One safety note. The old domain hsfdc.org.in is no longer controlled by the corporation and now redirects to an unrelated commercial website. The genuine official website is hscfdc.org.in, and loan services are also delivered through saralharyana.gov.in. Never enter Aadhaar, bank or document details on the old domain.