Ask banks to release student loans, Bengaluru private colleges urge PM Narendra Modi

Unaided colleges in the state have requested Prime Minister Narendra Modi to create a foolproof mechanism to ensure the release of educational loans to protect the interests of the students and private educational institutions.

In a letter to the prime minister, the Karnataka state private unaided colleges’ management association has requested that banks be allowed to release education loans to students in a hassle-free manner.

“By taking the personal indemnity of the parents, pay the said educational loan amount directly to the unaided private institutions’ bank accounts or by issuing a demand draft or a pay order in the name of those institutions where their wards are studying. The parents may be allowed sufficient time to repay the loan in due course time (sic),” it said.

The request follows the state government’s direction to schools to collect fees from parents who can afford to pay it. It can be recalled that previously, the association had request Chief Minister B S Yediyurappa to provide financial aid for paying the teacher salaries.