“Access Without Stress”, NELFUND Announces New Update To Ease Student Loan Application, Reduce Fraud

• NELFUND is taking new steps to ease the student loan application process and cut out bottlenecks from the system
• The student loan administrator announced that it would be deploying IT teams to institutions across the country
• NELFUND also recently issued a stern warning to the institutions and other players to avoid introducing fraudulent practices

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.

Following recent issues with student loan applications, the Nigerian Education Loan Fund (NELFUND) has announced updates to ease the loan application process and prevent fraud by stakeholders.

NELFUND revealed plans to deploy IT teams to linked institutions across Nigeria and integrate 'Student Loan' directly as a payment option on their portals.

Speaking at a stakeholders’ engagement session and technical workshop on NELFUND System Automation and Loan Application Processes, held on Tuesday in Abuja, the Managing Director of NELFUND, Akintunde Sawyerr, noted that the proposed integration would eliminate several bottlenecks in the student loan application process.

Sawyerr urged stakeholders and representatives from polytechnics, monotechnics, and institutes to collaborate with NELFUND and build a system that the students can trust.

Recall that earlier delays in loan disbursement left many students stranded.

Student loans to improve access to education

Mr. Sawyerr explained that the success of the student loan scheme is vital for addressing the financial challenges that cause many promising students to drop out of school.

He added that NELFUND is more than a student loan scheme, as it plays a key role in ensuring a future where every young Nigerian has access to education regardless of their background, the PUNCH reports.

His words;

“We’re not only providing financing, we’re building a technology-driven system that makes it easier for students to apply, for institutions to verify, and for funds to be disbursed with speed, fairness, and accountability.

“We’re aiming for access without stress, a platform students can use with confidence; transparency and trust so that no one is left wondering where their application stands; partnership with purpose because your feedback, your data, and your cooperation are critical to making this work. We rely on you as our institutional partners to help us bring this vision to life.”

NELFUND to increase funding figures

Supporting the MD’s statement, Iyal Mustapha, the Executive Director of Operations at NELFUND, explained that out of 576,000 registrations on the portal, only 516,000 completed their applications.

Mustapha noted that this indicates bottlenecks that may have caused thousands of students to cut their applications halfway.

With NELFUND integrated as a payment feature straight from the institutions' portal, the gap would be bridged.

NELFUND announces new student loan application cycle

NELFUND has announced the closure of the 2023/2024 student loan application cycle.

The new application cycle for 2024/2025 has thus opened on February 22, 2025, receiving applications from students across institutions.

NELFUND warns institutions against fraud

In related news, NELFUND has threatened legal action against institutions found to be extorting students.

Legit.ng earlier reported that some students were still being extorted by the institutions even after loans had been disbursed in their names.

Findings revealed that the institutions were still hounding the students to pay tuition fees, after NELFUND had disbursed said fees. For some others, the institutions collected higher fees from NELFUND.

Source: Legit.ng