NELFUND student loans are not due for repayment yet, as Tinubu’s aide clarifies timelines and urges Nigerians to ignore false claims

The Presidency has clarified that beneficiaries of NELFUND student loans are not yet required to begin repayment, urging Nigerians to disregard claims suggesting otherwise.

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President Bola Tinubu’s Special Assistant on Social Media, Olusegun Dada, made the clarification on Saturday via his official X page, following the circulation of what he described as misleading information online.

According to Dada, repayment under the Nigeria Education Loan Fund scheme will only commence after a two-year moratorium following the completion of the National Youth Service Corps programme.

“As it stands, the scheme will clock two years in March 2026 from the day the first applications were made, and not a single one of the applicants would have reached the repayment stage,” he said. He urged the public to dismiss any information that contradicts this position.

Dada also shared a video message by the Managing Director of NELFUND, Akintunde Sawyerr, who described the repayment structure for NELFUND student loans as seamless, transparent and fair.

Sawyerr explained that repayment obligations are designed to rest largely on employers of beneficiaries rather than the graduates themselves, except in cases where beneficiaries are self-employed.

He disclosed that a global standing instruction system had been put in place to recover funds from employers who attempt to evade their repayment responsibilities.

Addressing concerns about possible travel restrictions, Sawyerr stated that beneficiaries of NELFUND student loans are not subject to any travel bans or limitations.

“Two years is there because in your year of NYSC, you may not be able to look for a job. In the two years after, you have an opportunity to look for a job, settle down and stabilise,” he said.

He further clarified that repayment begins in the third year at a rate of 10 per cent of the beneficiary’s income, with employers expected to remit the funds directly.

“We do not have any intention of forcing people to pay NELFUND back, other than the employer. If the employer doesn’t pay us, we can go after the employer,” Sawyerr said.

Reassuring beneficiaries, he stressed that taking a loan under the scheme does not restrict personal freedom or career opportunities.

“The fact that you take a loan from us doesn’t mean you’re a slave to the government. People can travel wherever they want,” he said, while encouraging beneficiaries earning good incomes to support the sustainability of the scheme through repayment.

Also read: NELFUND Boosts Student Loan Uptake in Ogun State

The NELFUND student loans programme forms part of the Federal Government’s wider effort to expand access to tertiary education and ensure long-term, sustainable funding for future generations of students.