Education is seen as the foundation for the growth of any society. When people lack access to quality education, it can lead to higher unemployment rates and slow down economic progress. To address this issue, the Nigerian government, under President Bola Tinubu, launched a student loan program to help Nigerian students afford higher education. Let’s go over how you can apply for a Nelfund student loan.
What Is the Nelfund Student Loan?
Many young Nigerians are looking for ways to achieve their goals, and while the digital world offers opportunities to make money online, the government is also taking steps to help. While students might use quick loan apps to borrow money for school expenses, the Nigerian Education Loan Fund (Nelfund) was created by the Access to Higher Education Act of 2024. This act provides interest-free education loans to Nigerian students attending public tertiary institutions and vocational training centers across the country.
The Nelfund is managed by a corporate body set up by the 2024 Act, which replaced the 2023 Student Loan Bill. The Act ensures more support for students, including covering tuition, fees, and living expenses. The Nelfund will be funded by taxes, levies, and duties collected by the Federal Internal Revenue Service (FIRS), with 1% of these funds going to the loan program.
Who Can Apply for Nelfund Student Loan?
To apply for the Nelfund student loan, you must meet the following requirements:
- You must be a Nigerian citizen.
- You must be enrolled in a recognized public tertiary institution (such as a university, polytechnic, college of education, or vocational school in Nigeria).
- Your school must upload your details to the Nelfund portal for you to qualify for the loan.
Documents Needed for the Loan Application
Before applying, gather these documents:
- JAMB admission letter – to prove you’ve been accepted into an institution.
- National Identification Number (NIN).
- Bank Verification Number (BVN).
- Student matriculation or registration number.
How to Apply for Nelfund Student Loan Online
Here are the steps to apply:
Step 1: Check If You Are Eligible and Collect Documents
First, ensure you meet the eligibility requirements. Make sure your school has uploaded your details to the Nelfund portal. Then, gather the necessary documents like your admission letter, BVN, NIN, and student registration number.
Step 2: Visit the Nelfund Online Portal
Goto https://nelf.gov.ng and create an account using your email and a secure password. If you already have an account, just log in.
Step 3: Fill Out the Nelfund Application Form
Provide your personal details (name, date of birth, contact info), academic details (school name, course, and year of study), and explain why you need the loan.
Step 4: Upload the Required Documents
Upload clear copies of the required documents, ensuring they meet the size and format guidelines.
Step 5: Review and Submit Your Application
Double-check your information to make sure it’s correct. Once you’re sure, submit your application. You’ll receive an email confirmation with further instructions.
Step 6: Wait for Processing and Approval
Nelfund will review your application. If approved, the loan will be sent directly to your institution to cover tuition and other approved costs.
Key Features of the Nelfund Student Loan
Here are some important things to know about the loan:
- Repayment Terms: You will start repaying the loan two years after completing the National Youth Service Corps (NYSC) program. 10% of your salary will be deducted until the loan is fully repaid.
- Loan Forgiveness: If you become permanently disabled or pass away, the loan will be forgiven, and your family won’t have to repay it.
- Hardship Considerations: If you’re struggling to find a job after NYSC, you can request an extension for loan repayment by providing an affidavit and proof of your situation.
- Penalties for False Information: Providing false information during the application can lead to a three-year prison sentence.
Frequently Asked Questions
Can I apply for a Nelfund loan if I’m studying abroad?
No, Nelfund loans are only available to Nigerian students in public tertiary institutions or vocational colleges in Nigeria.
Will the loan be paid into my personal account?
The loan will be sent directly to your school to cover tuition, but you can receive a monthly allowance of N20,000 in your personal account if you include it in your application.
How can I apply for the Nelfund loan online?
Go to the official Nelfund website, fill in your details, and upload the necessary documents like your JAMB admission letter, BVN, NIN, and student registration number.
When do I start repaying the loan?
Repayment begins two years after completing your NYSC service. 10% of your salary will be deducted until the loan is paid off.
Conclusion
The Nelfund student loan offers a chance for many Nigerians to pursue higher education without worrying about finances. By understanding the eligibility requirements and gathering the necessary documents, you can apply for the loan and take a step closer to achieving your educational goals.