The Nigerian Education Loan Fund (NELFUND) has clarified that accessing its student mortgage scheme is voluntary and never obligatory for college kids in Nigerian tertiary establishments, following a viral memo from an Enugu state-owned faculty directing college students to use for the power.
The fund made the clarification in an announcement issued on Wednesday, stressing that college students who don’t require monetary help are underneath no obligation to use for or entry the mortgage.
NELFUND mentioned the scheme was established to assist Nigerian college students meet the price of their training, take away monetary obstacles to increased training and promote equal entry to studying alternatives.
NELFUND explains goal of student mortgage scheme
According to the fund, making entry to the mortgage obligatory for all college students, no matter their monetary circumstances, would run opposite to the scheme’s elementary goal.
- “The student loan scheme is a support mechanism, not an obligation,” NELFUND mentioned.
- “Students who do not require financial support are under no obligation to apply for or access the facility,” it added.
- The fund reaffirmed that the mortgage is interest-free and supposed to assist beneficiaries overcome monetary difficulties related to pursuing increased training.
NELFUND additionally known as on tertiary establishments, student leaders and different stakeholders to supply correct details about the scheme and information college students appropriately, significantly those that want monetary help to proceed their training.
The fund reiterated its dedication to making sure that monetary hardship doesn’t forestall eligible Nigerian college students from pursuing their instructional aspirations.
NELFUND highlights student mortgage compensation phrases
However, it famous that beneficiaries are required to repay the loans in accordance with the provisions of the Student Loans Act.
NELFUND subsequently suggested college students to grasp the phrases and circumstances of the scheme and make knowledgeable choices earlier than making use of.
- “Like every financial facility, it comes with repayment obligations in accordance with the provisions of the Student Loans Act,” the Fund mentioned.
- “Students are therefore encouraged to understand the terms and conditions of the scheme and make informed decisions before applying,” it added.
Enugu faculty makes NELFUND loans obligatory for college kids
NELFUND’s assertion comes on the heels of a memo from the Enugu State College of Education (Technical), Enugu (ESCET), that not too long ago went viral and sparked public outrage over its directive making student mortgage purposes obligatory for the 2026/2027 educational session.
The memo, dated October 6, 2026, and signed by the Acting Registrar, Patrick A. Aneke, acknowledged that it was obligatory for each student (each in NCE and Degree programmes) to enroll and entry the Nigeria Education Loan Fund (NELFund).
- “Consequently, all fresh and continuing Students are hereby required to visit the office of the College NELFund Desk Officer Dr. Rufina Agu and apply for the fund, for the 2026/2027 academic session,” the memo acknowledged.
- It additionally directed “all Deans/Directors, HODs (Academics) and the Student Union Government” to tell college students of the requirement.
More on NELFUND
NELFUND’s clarification comes because the Federal Government’s student mortgage scheme continues to develop, with eligibility necessities and compensation obligations remaining necessary concerns for potential beneficiaries. Nairametrics reported in October 2026 that NELFUND had disbursed ₦372.62 billion to students and tertiary institutions for the reason that scheme’s portal opened in May 2024, with greater than 1.65 million purposes processed.
Earlier, in February 2025, Nairametrics reported that beneficiaries have been expected to begin repaying their loans two years after completing the National Youth Service Corps (NYSC), topic to the relevant employment and compensation circumstances.
Nairametrics additionally reported in March 2025 that postgraduate students were ineligible for the Federal Government’s student loan scheme, which was designed to help eligible college students pursuing their first diploma.
