According to the details, The Act makes it possible for Nigerian students enrolled in tertiary schools to obtain interest-free loans from the Nigerian education loan fund.
The act calls for the establishment of the Nigerian Education Loan Fund, which will be in charge of administering, supervising, coordinating, and monitoring the country's student loan administration.
According to the legislation, the fund is expected to accept and assess applications for student loans through higher education institutions on behalf of applicants.
Popular Nigerian investigative journalist, David Hundeyin has emphasized in a tweet that Nigerians shouldn't get overly excited about the student loan act because the application may just be reserved for some specific persons, he said submitting proof of income to a Nigerian Government agency will require a tax clearance certificate which may automatically disqualify every 'blue collar worker'
“To get this "student loan," you need to bring a Director-level civil servant or a lawyer with 19 years post-call history, or a judge. Why would anyone who has access to these people need a student loan”?
“If the student or their parents have ever defaulted on "any previous loan" (i.e if they have missed payments on Palmpay, Opay and Lapo before), they are not allowed to apply for the loan! Again, guess who this disqualifies”!
“The Civil Service Director or the judge or the 10 year post-call lawyer serving as guarantor must then write a letter promising to pay the loan if the student doesn't pay it. They must attach their employment letter or CAC registration document to the letter”.
“Disbursement shall be on availability of funds" which means in plain English, "Even if you jump through all these hoops, we cannot guarantee that we will actually have the money.”
David Hundeyin |