Educational Loan and Educational Unemployed Business Credit Guarantee
The education loan advanced by member institutions up to the limit of Rs. 1 million.
The loan advanced by the member institutions up to Rs. 5 lakh without collateral or on a group guarantee to the educated unemployed persons for skill development and to establish and run the business on their own.
The premium is fixed at 1% per annum out of which only 50% of premium amount (i.e 0.50% of the guaranteed amount) shall be paid by the member institution and remaining 50% of premium amount (i.e 0.50% of the guaranteed amount) will be received as subsidy from the Government of Nepal.
The maximum tenure to lodge claim by member institutions with the Fund is within two years from the due date of payment of Loan.
The compensation rate is upto 80% of the outstanding balance of the loan at due date.
