The Nigerian Education Loan Fund has said that accessing student loans is voluntary, urging tertiary institution students to apply only when they genuinely need financial assistance to pursue their education.
The was made known through a statement signed by the Director of Strategic Communications, NELFUND, Oseyemi Oluwatuyi, in Abuja on Wednesday.
He explained that the student loan scheme was established to remove, “financial barriers to higher education and ensure that eligible Nigerian students were not denied educational opportunities because of financial constraints.”
Adding 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 purpose of the scheme, which is to support those who need financial assistance rather than encourage indiscriminate borrowing.
He urged tertiary institutions, student leaders and other stakeholders to provide accurate information about the scheme and guide students who require financial support on how to access it.
The fund added that the facility was interest-free and intended to help beneficiaries overcome financial difficulties associated with pursuing higher education.
However, he reminded prospective applicants that the loans came with repayment obligations in line with the provisions of the Student Loans Act, advising students to understand the terms and conditions before applying.
NELFUND maintained that its objective was to ensure that financial hardship did not prevent eligible Nigerian students from pursuing their educational aspirations.
The scheme is part of the Federal Government’s efforts to expand access to tertiary education by providing financial assistance to students who may struggle to meet the costs of their studies.
While the interest-free arrangement reduces the cost of borrowing, the fund’s latest clarification underscores the need to inform the students that the facility is optional and that beneficiaries are expected to fulfil the applicable repayment condition.
