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 Vidya was born in Palghat, Kerala, India. Her family consists of her dad, P.R. Balan, who is the Vice-President of ETC Channel; mom - a home-maker, and an elder sister, Priya, who is married to Kedar.

 Considerably overweight, rather tomboyish, during her school-days, and an ardent fan of Shahrukh Khan, she decided to shed those extra pounds when she elected to opt for modeling and movies.

Facing disappointment after being rejected by a Tamil producer, she nevertheless persisted until she got her first break with a Malyalam movie 'Chakram' opposite Mohanlal, however, the project was shelved, and she had to wait until 1998 to debut in a Surf Excel commercial. She then went on to appear in several commercials directed by Pradeep Sarkar. She completed nearly 90 such ads.

 part from acting, Vidya occupies herself for supporting education for young Indians by promoting children's' books; is associated with Americans for Aids Research; with Hale House - that provides support and housing for children born with HIV and drug abuse; as well as hosting forums and attending events for Harvard Aids Institute.

When she was single, she was never involved in any scandal and claimed to get along well with both female and male friends. In 2012, she married producer Siddharth Roy Kapur

 Tamilian from Kerala, she hails from the Iyer community in Palghat, on the border of Tamil Nadu and Kerala.
Did her schooling from St. Antony's School and later on at St. Xavier's College where she graduated in Sociology. She soon started work on her MA from Mumbai University when she was offered a role in a Malayalam film starring Mohanlal, but it was later shelved due to issues with the director.
Speaks English, Hindi, Malayalam, and Tamil. After filming Parineeta (2005), can also speak Bengali quite well.
Listed as number 8 of 'Top Bollywood Actresses' of 2006. (rediff.com, 8-25-2006)