Loan Scheme Based On Students’ Genuine Need For Assistance, Not Compulsory — NELFUND

The Nigerian Education Loan Fund says only students who genuinely need financial help should apply, adding that no one is obliged to take the loan.

The agency made the clarification following social media posts that alleged that students of Enugu State College of Education (Technical) were mandated to take the NELFUND loan.

It said that applying for the student loan scheme is voluntary and not a compulsory requirement for students in Nigerian tertiary institutions.

In a statement issued in Abuja on Wednesday and signed by its Director of Strategic Communications, Mrs Oseyemi Oluwatuyi, NELFUND said the scheme was set up to help students who need support to meet the cost of their education.

It said that the initiative was designed to remove financial barriers to higher education and promote equal access to learning, adding that students who do not need financial support are under no obligation to apply for or access the facility, as it would run contrary to the scheme’s fundamental purpose.

“The decision to apply for and access the loan should be based on an individual student’s financial circumstances and genuine need for assistance,” NELFUND said.

“NELFUND’s objective is not to encourage every student to borrow, but to ensure that every eligible Nigerian student who genuinely needs financial assistance has the opportunity to access it,” the statement added.

The agency further explained that the loan is interest-free and meant to help beneficiaries overcome the financial difficulties of pursuing higher education.

However, it noted that, like any financial facility, the loan comes with repayment obligations under the provisions of the Student Loans Act.

NELFUND urged tertiary institutions, student leaders and other stakeholders to provide accurate information about the scheme and guide students appropriately, particularly those who need financial assistance to stay in school.

It reiterated its commitment to ensuring that financial hardship does not stand in the way of any Nigerian student’s educational aspirations.