NELFUND clarifies student loans are optional for tertiary institution students

While highlighting the benefits of the scheme, NELFUND stated that the loans are interest-free and intended to help beneficiaries manage the financial demands of pursuing higher education.

However, the agency reminded prospective applicants that the absence of interest does not exempt beneficiaries from repayment obligations. It advised students to familiarise themselves with the applicable terms and conditions under the Student Loans Act before submitting their applications.

The clarification reinforces the Federal Government’s objective of widening access to tertiary education by providing financial support to students who might otherwise struggle to pay for their studies.

NELFUND maintained that financial difficulties should not prevent eligible Nigerians from pursuing their academic ambitions, while stressing that the decision to obtain a student loan rests with each individual student.

The agency’s position also highlights the importance of responsible borrowing, encouraging students to assess their financial circumstances before applying and to understand their obligations as beneficiaries of the scheme.