Tertiary institutions benefiting from the Federal Government’s student loan scheme have been warned against arbitrary tuition increases, with the Nigerian Education Loan Fund, NELFUND, threatening to withhold payments from schools that impose unreasonable charges.
Giving the warning during a television interview, NELFUND Managing Director and Chief Executive Officer, Akintunde Sawyer, said some institutions increased their fees after the introduction of the student loan scheme, prompting NELFUND to introduce guidelines to prevent schools from exploiting the additional funding available through the programme.
He said the agency had rejected inflated charges from some institutions and warned that schools that continue to impose unreasonable fees risk losing access to NELFUND payments. According to Sawyer, some institutions have already reversed fee increases after realising that NELFUND would not fund charges considered unjustifiable.
On delays in the payment of student upkeep allowances, Sawyer said NELFUND targets processing applications within about 45 days.
He explained that the process involves around 30 days of internal processing, after which applications are sent to institutions for verification, with schools expected to complete the exercise within 15 days. Sawyer noted, however, that delays at the institutional level could affect the overall timeline for payment.
He disclosed that between 850,000 and 900,000 students had received upkeep allowances, which are paid directly into beneficiaries’ bank accounts.
The NELFUND boss also warned institutions against imposing additional charges or creating barriers for students seeking to benefit from the loan scheme, saying the agency would take action against any school found engaging in such practices.
The student loan scheme currently covers students in publicly owned universities, polytechnics and colleges of education across the country.
