The Nigerian Education Loan Fund (NELFUND) has warned students against taking education loans they do not need, stressing that the scheme is voluntary and meant to support those who cannot afford the cost of their studies.
The fund said students who can pay their school fees and other educational expenses without assistance are not required to apply for the loans.
NELFUND made this known in a statement issued in Abuja on Wednesday and signed by its Director of Strategic Communications, Oseyemi Oluwatuyi, Naija News reports.
According to the fund, the student loan scheme was introduced to ensure that financial difficulties do not stop eligible Nigerians from gaining access to higher education.
It explained that making the loans compulsory for all students, regardless of their financial situation, would defeat the purpose of the programme.
“The student loan scheme is a support mechanism, not an obligation,” the fund stated.
NELFUND urged tertiary institutions, student leaders and other stakeholders to provide correct information about the scheme and guide students who genuinely need financial assistance on how to apply.
The fund also explained that the loans are interest-free, making them an option for students struggling to meet the cost of their education.
However, it reminded prospective applicants that the loans must be repaid in line with the provisions of the Student Loans Act.
It advised students to understand the terms and conditions of the facility before applying to avoid problems with repayment in the future.
NELFUND said its main goal was to ensure that eligible Nigerian students were not denied educational opportunities because they lacked the money to pay for their studies.
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