‘Our Burdens Are Lifted’: Beneficiaries Of Student Loan Fund Speak
The rising cost of tertiary education in Nigeria has become a pressing concern, with tuition hikes leaving many students struggling to cope. When the University of Ibadan suddenly doubled its fees, Bodunde Ayomide, a 200-level student, was thrown into uncertainty. Having paid a relatively manageable N68,000 in his first year, the new fees left him wondering how he would make ends meet.
“My parents are not too handy and everyday, I was thinking about how to pay for my school fees,” he told the WHISTLER.
But hope arrived in the form of the Nigerian Education Loan Fund (NELFUND), a government-backed initiative designed to shatter financial barriers in higher education.
The NELFUND student loan scheme was launched on May 24, 2024, as part of the Renewed Hope Agenda of President Bola Tinubu’s administration.
According to Ayomide, his excitement knew no bounds when he learned about the Student Loan Initiative, which promised to ease the burden of tuition fees.
“I applied immediately when I heard about it. My school did a good job of disseminating the information to us. While some were skeptical, I applied and got the money,” he explained.
Ayomide said the loan has not just helped him but many of his friends who had struggled to even pay the initial N68,000 school fees, last two years.
“ Like me, it would have been very difficult for them to pay when the fees were increased. They would have dropped out of school by this time but with NELFUND, they were able to continue their studies,” he said.
Apart from the fact that NELFUND has given the student a lifeline to continue with their education, Ayomide said that he studied even better now knowing fully well that the Fund has his back.
“The fact that I am not thinking about school fees is helping me to study well because I know NELFUND will pay,” he stated with smiles.
On the loan repayment, the student expressed optimism that it won’t be a problem for me, “I like that we will start paying the loan after two years. I am also happy that it is interest-free. The percentage they will be removing every month is just ten percent. It isn’t much.”
He expressed gratitude to the federal government for the initiative, urging NELFUND to continue to improve on its operation so as to prove the naysayers wrong.
“Some of my friends are saying that soon the scheme will crash, saying that this is Nigeria. They have no intention of paying back the loan. I told them not to have that mind-set. Since it helped them, they are supposed to pay so that it can help others,” he said.
For Barakat Bolanle, another student of the institution, the loan has also relieved her parents of the burden of paying her school fees.
“The fee was N289,000 and I was wondering where to get the money with the situation of the country. I am a Direct Entry student. I was happy when I was able to access the loan last year. I have applied again this year,” Bolanle stated.
She added the upkeep allowance of N20,000 every month was also dispersed into her account and has helped her a great deal to cater for her personal needs.
For students who are still skeptical about the loan, Bolanle said, “Remember if you don’t have money, you won’t be able to concentrate on your academics. It is better for you to get a loan and repay it when you graduate.”
The 25 year-old student assured that she will make sure to repay because “I am a Moslem and I really know the meaning of debt and I won’t want to be a debtor.”
Hafsah Ashirudeen, a 24-year-old student and general retailer, also shared her experience.
She said securing the student loan last year enabled her to continue running her business without dipping into her business capital to pay school fees.
“I am a Direct Entry student. My school fees, which is N283, 500 was paid in full last year. I was very happy because I am a student and a business person. If it were not for the loan, I would have used the money for my business and paid for my school fees which would have affected the business a great deal,” she said.
The 200-level-student of the department of Agricultural Science, disclosed that she reapplied for the loan this year and expressed optimism that as her business thrives, she will be able to pay back the loan even before getting a job after graduation.
“Now, I can maintain my business and still study. I sell perfume, inner wear and kitchen utensils.
“NELFUND took the burden away from my heart. I am hoping I can own my own shop and the way it is going, not using my business money to pay my school fees, I am hoping that when I graduate even before I get a job, I will be able to pay before the time elapses,” she explained.
Another student, 32 year old, Timothy Adibu was full of commendation for the student loan initiative stating that, “It is a great innovation.”
Adibu, who secured the loan last year, said he was motivated to apply because, as a Nigerian advocating for a better country, he refused to be pessimistic.
The 200-level-Computer Science student disclosed that he is a businessman in Abuja, adding that coping with his business and studies hasn’t been easy.
“After ten years of seeking admission, I have finally returned to school. NELFUND has really helped ease this journey,” he said.
For Adibu, who is shouldering the school fees of several others, NELFUND’s intervention has been a huge relief, as many of them have successfully secured the loan.
“So since NELFUND took over, it has helped me a great deal. I just pay for their accommodation, and little assistance with their upkeeps. A huge burden has been taken off my shoulders,” he said.
While commending the government for the initiative, the students urged NELFUND to improve its operations to prevent delays in the payment of institutional fees and allowances.
“The only concern I have is that NELFUND should pay the upkeep timely so that people will be able to cope. Some have to borrow money before the money comes. Like now, they are not certain about when the loan is coming.
“Also, NELFUND should approve our institutional loan on time as our registration deadline is June 6. You can’t register for your courses without paying for your institutional fees,” Adibu disclosed.
During strategic engagement with students and management of institutions recently, NELFUND had assured that the Fund has introduced an automated system that will ensure timely disbursement of loans and upkeep allowances.
“With the updated and automated system, there won’t be any delay in disbursement. If your institutions upload today, I am telling you this for free that within the next two weeks, all disbursement will be made. The automated system has taken care of the issue of not approving loans early to prevent academic disruption,” the Director of Monitoring and Evaluation, NELFUND, Aliyu Mohammed stated during the engagement.
He also added that NELFUND in a few weeks will create a code where students will be able to check their loan status easily without logging in.
“In the next two weeks, we will disseminate information whereby there is a code you will insert if you want to check your credit or your data balance. That code will enable you to see your status without logging to your dashboard to simplify the issue,” he said.
Mohammed further explained to the students that the institutional loan is compulsory for those who needed it, while the upkeep loan is optional, explaining that the Fund will disburse loans directly to institutions for tuition fees and to students for upkeep allowances, in line with the law establishing NELFUND.
NELFUND has recently marked a significant milestone in its quest to expand access to higher education in Nigeria with over 550,000 loan applications and ₦56.85 billion disbursed to cover tuition fees and provide upkeep allowances for students.
Although the Fund faced controversy last month over alleged discrepancies in the disbursement of student loans, the Independent Corrupt Practices and Other Related Offences Commission (ICPC) had cleared it of any wrongdoing, stating, “that a clear case of discrepancies has not been established in the administration of the student loan scheme and its investigation will now extend to beneficiary institutions and individual student recipients.”
Also, the minister of Education, Dr. Tunji Alausa while speaking on the matter said no fraud has been uncovered in NELFUND.
NELFUND attributed its success to its commitment to collaboration with institutions, state governments, and student bodies.
According to the Managing Director/CEO of NELFUND, Mr. Akintunde Sawyerr, “One year ago, we launched a promise to Nigerian students. Today, we’re proud to be delivering on that promise. NELFUND is more than a loan scheme, it’s a bridge to opportunity, equity, and national transformation.”
‘Our Burdens Are Lifted’: Beneficiaries Of Student Loan Fund Speak is first published on The Whistler Newspaper
