The Nigeria Education Loan Fund (NELFUND) will launch a new student loan scheme for federal universities, polytechnics, colleges of education, and technical colleges, announced Akintunde Sawyerr, NELFUND’s Managing Director/Chief Executive Officer, at a news conference today.
Starting with 1.2 million students as initial beneficiaries, the portal for loan applications will open on Friday, May 24. Eligibility for the loan requires that the students’ institutions have uploaded their data onto the NELFUND dashboard.
The loan, covering the equivalent of the students’ tuition fees, will be paid directly to their respective institutions. Additionally, monthly stipends will be provided to the students to cover other expenses, enhancing their comfort during their studies.
“This scheme is available to students in government institutions at the tertiary level,” Sawyerr stated. “We will begin with federal institutions and later extend it to state-owned institutions.”
The loan application process requires no guarantors. Applicants must provide their Joint Admissions and Matriculation Board (JAMB) letter, National Identification Number (NIN), and Bank Verification Number (BVN). The application involves completing personal details, academic information, and financial need data before submission.
Regarding loan repayment, Sawyerr specified that recipients must start repaying two years after employment, regardless of their job sector. “We ensure the scheme covers 100% of the tuition fee per session, with provisions for stipends,” he noted, adding that payments are session-based due to potential changes in students’ academic decisions.
To mitigate the risk of bad loans, NELFUND will gather comprehensive applicant information and collaborate with security agencies to verify the applicants’ authenticity and integrity.
The initiative aims to support Nigerian students in federal tertiary institutions by providing financial aid for their education, fostering a conducive learning environment.