‘No job, heavy debt’: Minister seeks 5-year pause on loan repayment for students hit by H-1B visa changes

Following the recent hike in the H-1B visa application fee, member of parliament Manickam Tagore B has urged prime minister Narendra Modi to defer education loan repayment for 5 years and direct banks to take a compassionate approach under RBI guidelines for affected students. Tagore also suggested supporting mechanisms like re-skilling, job facilitation, and startup funding to reintegrate students into the Indian workforce.

The cost of the H-1B visa application fee has been increased to USD 100,000 (approximately Rs 88 lakh). Students who already paid for education in the United States now struggle with loan repayment and are burdened with additional and unexpected financial pressure.

The situation has not only worsened for students graduating this year, but also for those who are currently pursuing their multi-year programmes in the United States and intend to stay for employment under the H-1B visa route.

Many of these students, from middle- and lower-income families, had pursued their education with the expectation of securing jobs after graduation and gradually repaying their loans. However, the unpredictable H-1B lottery system and increasing visa costs have left many graduates returning to India jobless and burdened with significant debt.

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H-1B visa fee hike for Indian students

“These steps would bring relief to thousands of families who sacrificed for higher education. It’s time for action to safeguard the future of our youth and ensure their efforts are not wasted,” Tagore posted on his official X account.

Donald Trump’s administration has said that the hike in H-1B visa application fee aims to ensure that the people being brought into the country are ‘actually very highly skilled' and do not replace American workers.

People have shared mixed feelings about the H-1B visa fee hike, some calling it a bad move while others say ‘ it is a blessing in disguise. ’ The director of Indian Institute of Technology (IIT) Madras, V Kamakoti, said: "I see this as a blessing in disguise and we must thank President Trump for it. We must take full advantage of this.”