Why a Loan for Upgrading your skills?
Nowadays skills are constantly changing, and Industry now wants relevant skills from its employees to stay in the job market. So for this, it requires a reasonable amount of investment which one has to invest in upgrading their skills in order to acquire the best possible jobs out there. In this type of circumstances, Loan For Skill Development plays an important role.
Under this loan scheme, a considerable amount of loan is given to an individual who wants to upgrade his skills to stay in the job. The objective is facilitating skill development courses among the employees to be on par with the Industry demands. These skill development courses are offered by various Institutions across India under National Skill Qualification framework.
Limit of the Loan
Such loans are given to Institutions, training providers; individuals who want to pursue such courses and small entities under this qualification framework. There is no specific restriction to age group, but the maximum limit goes up to Rs. 150000 and minimum one is Rs. 50000.
Expenses considered for Loan
All tuition fees, caution deposit, laboratory fees, and many more fall under this loan. The processing fees are considerably less, and without much hassle, the loan can be processed. However, the cost of living and hostel charges are not covered in this scheme, but some Non-banking financial companies offer those also.
Repayment of Loan
The repayment of the loan can be made within 3 years, and the loan is given for short-term skill-based courses to increase the technical know-how. Many banks and NBFCs take a collateral deposit, but the government schemes for these types of loans are much beneficial.
Thus Career Development Loans are vital to for employment in the economy. Moreover, it helps to generate lots of entrepreneurial activities and capital formation. Many banks and NBFCs offer such loans in attractive rates of interest. This loan acts as a source for upgradation of skills to stay in the Industry since skills are constantly changing as per the Industry demands.