The Nigerian Education Loan Fund (NELFUND) has taken its awareness campaign to 34 ministries and plans to extend it to military, police and immigration barracks. The initiative targets civil servants, parents and guardians who may have children or dependants seeking financial support for higher education.
The campaign, tagged Roadshow, is designed to help more families understand how the Federal Government’s student loan scheme works and how eligible students can access it.
NELFUND’s Director of SERVICOM, Olusola Fowobaje, disclosed the development during an engagement with civil servants at the Ministry of Regional Development in Abuja.
According to a report by The Guardian, the exercise will cover 34 ministries before extending to security formations across the country.
Fowobaje explained that the scheme covers institutional fees and monthly upkeep allowances of ₦20,000 for eligible beneficiaries.
For parents whose children are preparing for or already pursuing tertiary education, here are three important things to understand about the programme.
1. What does the NELFUND loan cover?
The scheme provides financial assistance for approved institutional charges and students’ living expenses.
The institutional component covers approved fees payable to a student’s school. This can reduce the immediate financial pressure on families struggling to meet education costs.
Eligible beneficiaries can also receive ₦20,000 monthly as an upkeep allowance. The money is paid into the student’s nominated bank account to support expenses while studying.
However, parents should understand that NELFUND is a loan scheme, not a scholarship or cash grant.
Although the facility is interest-free, beneficiaries are expected to repay the money under the applicable terms.
2. Who can apply for the student loan?
The programme is designed for eligible Nigerian students admitted into approved tertiary institutions in the country.
The official NELFUND portal provides access to the application process and information about participating public institutions.
Importantly, the 2024 Student Loans Act removed the previous family income threshold and guarantor requirement. It also removed the restriction that could disqualify applicants because of their parents’ loan history.
This means parents do not need to meet the old income limit or provide guarantors before their children can apply.
However, students must still satisfy the Fund’s identity, admission and institutional verification requirements.
3. How can students apply for NELFUND?
Applications are submitted online through the official NELFUND website.
The process begins with account registration on the student loan application platform. Applicants then select the option to request a student loan and complete the required information.
NELFUND reviews submitted applications and verifies the details. Once an application is approved, the institutional component is paid to the school, while the approved upkeep allowance goes to the student’s nominated bank account.
Students should ensure that their personal, academic and banking details are accurate before submitting their applications.
Parents should also caution their children against unofficial websites and individuals promising guaranteed approval in exchange for money.
Read also: NELFUND Loan: Can Schools Force Students to Borrow Money to Write Exams?
What parents should consider before applying
The student loan scheme can help families manage the cost of higher education. However, it comes with a repayment obligation.
Under the Student Loans (Access to Higher Education) Act, 2024, loan recovery is not to begin until two years after a beneficiary completes the National Youth Service Corps programme.
Beneficiaries should therefore understand the repayment conditions before accepting the facility.
The decision to borrow should also reflect the student’s actual financial needs. NELFUND has previously clarified that accessing the scheme is voluntary.
As the Fund expands its awareness campaign, parents and guardians can help by directing eligible students to official information rather than relying on rumours or outdated application requirements.
The scheme may provide a route to higher education for families facing financial difficulties, but understanding its benefits and obligations is essential before applying.