The Nigerian Education Loan Fund (NELFUND) has intensified efforts to compel tertiary institutions accused of withholding student loan refunds to comply with the guidelines of the Federal Government’s student financing scheme, amid mounting complaints from beneficiaries across the country.
In a public notice issued on Monday, the agency said it had become aware of reports indicating that some institutions were delaying, withholding or refusing to refund students who had already paid their tuition fees before NELFUND later settled the same obligations directly with the schools.
The Fund also expressed concern over allegations of arbitrary increases in tuition and other institutional charges, warning that such practices undermine the objectives of the student loan programme introduced by the administration of President Bola Tinubu.
“The Nigerian Education Loan Fund has noted with concern reports of some tertiary institutions delaying or refusing to refund students whose tuition fees had already been paid before NELFUND disbursements, as well as arbitrary increases in tuition and other institutional charges,” the statement read.
NELFUND stressed that the student loan initiative was established to expand access to higher education by removing financial barriers and should not become an avenue for imposing additional burdens on students and their families.
“The Student Loan Scheme, an initiative of the administration of President Bola Ahmed Tinubu, was established to remove financial barriers to higher education, not to create additional burdens for Nigerian students,” the Fund stated.
According to the agency, it has commenced engagements with affected institutions as well as relevant regulatory authorities to ensure that eligible students receive the refunds due to them.
“NELFUND is engaging the affected institutions and relevant authorities to ensure that due refunds are made to eligible students and that institutional charges remain fair, transparent, and consistent with the objectives of the Scheme,” it said.
The agency reiterated its commitment to protecting students and safeguarding public confidence in what it described as a landmark intervention in Nigeria’s education sector.
“NELFUND remains committed to protecting the interests of students and preserving the integrity of this landmark national intervention,” the statement added.
The latest move comes against the backdrop of growing complaints by beneficiaries of the student loan scheme, many of whom claim they are yet to receive reimbursements months after institutions confirmed receiving tuition payments from NELFUND.
Under the scheme, tuition fees are paid directly by the Fund to approved tertiary institutions, while upkeep allowances are transferred to beneficiaries’ individual bank accounts.
Students who had previously settled their school fees before NELFUND approved and disbursed funds on their behalf are expected to receive full refunds from their institutions.
Since the commencement of disbursements, the agency has repeatedly reminded schools that retaining such payments amounts to a violation of the operational framework of the programme.
Education stakeholders have warned that failure by institutions to comply could weaken confidence in the initiative, which is widely regarded as one of the flagship social intervention programmes of the Tinubu administration.
The student loan programme was designed to address longstanding concerns about access to higher education financing, particularly for students from low-income households attending public tertiary institutions.
Monday’s warning suggests NELFUND may be adopting a firmer enforcement approach as it seeks to curb abuses, improve transparency and reassure beneficiaries that the programme remains committed to easing the financial burden associated with tertiary education.
