NELFUND to Disburse Student Loans Within 30 Days Amidst Institutional Delays

The Nigerian Education Loan Fund (NELFUND) has announced that students approved for the much-anticipated loan scheme will receive their funds within 30 days of approval. This significant development follows the official launch of the loan scheme, aimed at benefiting over 1.2 million students from federal tertiary institutions across the country.

Comprehensive Details on NELFUND Loan Scheme

The NELFUND portal (www.nelf.gov.ng) went live at midnight last Friday, marking the beginning of the first phase of the student loan program. This phase is targeted at students from Federal Government-owned universities, polytechnics, colleges of education, and technical colleges. The inclusion of state-owned institutions is expected to be announced soon.

Eligibility and Application Requirements

According to NELFUND, the zero-interest loan is available to new and existing full-time students. Part-time students and Direct Entry students without JAMB numbers are not eligible for this scheme. Applicants must provide detailed personal information, including:

• Institution of study
• Admission number
• JAMB Number
• Date of Birth
• National Identity Number (NIN)
• Bank Verification Number (BVN)

Additionally, new students are required to upload their scanned admission letters, while existing students must provide their student identification cards. Importantly, NELFUND clarified that no fees are required before the disbursement of the loan.

Streamlined Loan Disbursement and Repayment Process

The loan disbursement process is streamlined to ensure funds are released within 30 days of application approval. Regarding repayment, NELFUND specified that 10 percent of the beneficiary’s salary will be deducted at source by the employer. For self-employed beneficiaries, 10 percent of their monthly profit must be remitted to the Fund. Beneficiaries are also permitted to repay more than the statutory 10 percent if they wish to do so.

READ ALSO: Check Out the Universities Eligible for Student Loans in Nigeria

Data Submission Delays from Institutions

The National Association of Nigerian Students (NANS) has raised concerns over delays from several federal institutions in submitting their students’ data to NELFUND. This delay is hindering the processing of loan applications, leaving many students unable to access the much-needed financial assistance.

In a memo addressed to Students’ Union Government (SUG) Presidents, NANS Joint Campus Council Chairmen, and Zonal Coordinators, NANS President Lucky Emonefe emphasized the urgency for institutions to comply with NELFUND directives. He warned that any institution failing to submit the required data would be excluded from the loan scheme, leaving their students at a disadvantage.

NELFUND’s Response and Next Steps

During a Pre-Application Sensitization Press Conference in Abuja, NELFUND’s Managing Director and Chief Executive Officer, Akintinde Sawyerr, reiterated the importance of data submission from institutions. He highlighted that the loan application process is designed to be seamless, with no physical contact required between applicants and the Fund.

Sawyerr chose not to disclose the specific institutions lagging behind in data submission, opting instead to focus on encouraging compliance. He assured that once the necessary data is uploaded, eligible students could promptly proceed with their loan applications.

How to Apply for NELFUND Student Loan: A Step-by-Step Guide

With the commencement of the student loan program, students are encouraged to apply and benefit from this initiative by following these steps:

Application Process

1. Visit the NELFUND website (www.nelf.gov.ng).
2. Click on “Apply Now.”
3. Click on “Get Started.”
4. Answer the questions on the page, confirming you are a Nigerian.
5. Verify your educational information by selecting your school from a dropdown and providing your matric number to check if your school has uploaded your details.
6. Click “Verify with JAMB” and enter your JAMB details.
7. Create an account by entering your email address, and password, and confirming the password.
8. Verify your account via the email link sent to your email.

Profile Completion

After successful registration, log in to complete your profile:

1. Enter your email address and password to log in.
2. Click on the “Proceed to Contact Details” button.
3. Update your contact details, including phone number, residential address, state, and local government area of residence.
4. Update your educational details by selecting your higher institution and inputting your matric number.
5. Verify your BVN by entering your BVN, selecting your bank name, and entering your account number. Click “Save Changes” to complete your profile.

Related News

• How to Apply for 2024 Student Loan Program www.nelf.gov.ng
• Apply Now: FG Opens Student Loan Online Application Portal www.nelf.gov.ng
• Check Out the Universities Eligible for Student Loans in Nigeria
• FG Announces Commencement Date for Implementation of Student Loan Scheme

Loan Application

1. Click on the “Request for Student Loan” button after logging into your account.
2. If you need an upkeep loan, select the checkbox and continue. For institutional charges only, click “Continue.”
3. Upload supporting documents such as your admission letter (mandatory), student ID, and institution invoice (optional). Agree to the policy and declaration and click “Continue.”
4. Review the loan overview, agree to the Terms & Conditions and GSI Mandate, then click “Submit Application.”
5. Check the status of your application by clicking the “Loans” button.

Conclusion

The launch of the NELFUND student loan scheme marks a significant step towards alleviating the financial burdens of Nigerian students. However, the success of the program hinges on the timely submission of student data by tertiary institutions. As NANS continues to advocate for swift action, the hope is that all stakeholders will collaborate effectively to ensure that no student is left out of this vital financial support.

For more updates on the NELFUND student loan scheme and other related news, stay tuned to our platform.

FAQs about NELFUND Student Loan

Q: Who is eligible for the NELFUND student loan?
A: The loan is available to new and existing full-time students in federal tertiary institutions. Part-time students and Direct Entry students without JAMB numbers are not eligible.

Q: What information is required to apply for the loan?
A: Applicants must provide their institution of study, admission number, JAMB Number, Date of Birth, National Identity Number (NIN), and Bank Verification Number (BVN). New students must upload their admission letters, while existing students need to provide their student IDs.

Q: How is the loan repaid?
A: Ten percent of the beneficiary’s salary will be deducted by their employer, or self-employed beneficiaries must remit 10 percent of their monthly profit to NELFUND. Beneficiaries can choose to repay more than the required 10 percent.

Q: What happens if an institution does not submit student data to NELFUND?
A: Institutions that fail to submit the required data may have their students excluded from accessing the loan. NANS is urging student leaders to ensure their institutions comply with NELFUND directives.

For more information, please visit NELFUND’s official website.

Source: Guardian

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