NELFUND Says Student Loan Applications Voluntary

By Adedapo Adesanya

The Nigerian Education Loan Fund (NELFUND) has clarified that applying for student loans is voluntary, urging students in tertiary institutions to seek financial assistance only when they need it to pursue their education.

The clarification was contained in a statement signed by NELFUND’s Director of Strategic Communications, Ms Oseyemi Oluwatuyi, on Wednesday.

The fund said the student loan scheme was established to remove financial barriers to higher education and ensure eligible Nigerian students were not denied educational opportunities because of financial constraints.

It stressed that students who could afford their educational expenses were under no obligation to apply for or access the facility.

NELFUND said making the loans compulsory for all students, irrespective of their financial circumstances, would contradict the scheme’s objective of supporting those who genuinely need assistance rather than encouraging indiscriminate borrowing.

“The student loan scheme is a support mechanism, not an obligation,” the fund stated.

It urged tertiary institutions, student leaders and other stakeholders to provide accurate information about the scheme and guide students who require financial assistance on how to access it.

NELFUND explained that the facility was interest-free and designed to help beneficiaries address financial challenges associated with pursuing higher education.

However, it warned prospective applicants that the loans carried repayment obligations under the Student Loans Act, advising students to familiarise themselves with the applicable terms and conditions before applying.

The fund reiterated that its objective was to ensure financial constraints did not prevent eligible Nigerian students from achieving their educational aspirations.

The scheme forms part of the Federal Government’s efforts to widen access to tertiary education by providing financial support to students who may struggle to meet the costs of their studies.

There were reports on Tuesday that a tertiary institution in Enugu State mandated students to apply for the loan, sparking reactions from some Nigerians, including popular broadcast journalist Mr Rufai Oseni and Aisha Yesufu.