Headlines

Steps to access the student loan.

Published

11 months ago

June 13, 2023

Stella Charles Akupue

The Student Loan Bill, which is now Law, was Sponsored by Hon. Femi Gbajabiamila and is officially known as:

AN ACT TO PROVIDE EASY ACCESS TO HIGHER EDUCATION FOR NIGERIANS THROUGH INTEREST-FREE LOANS FROM THE NIGERIAN EDUCATION BANK.

Students applying for loans under this Act must apply to the Chairman of the Bank through their respective institutions upon satisfaction
of the following conditions:
(i) Student must have secured admission into any public Nigerian
University, Polytechnic, Colleges of Education or TVET school

Applicant’s income or family income must be less than N500,000 per annum;

Applicant must provide at least two civil servants as guarantors of not less than level 12 years in service; or a Lawyer with at least 10 years post-call experience; a
Judicial officer; or a Justice of Peace.

Students who have defaulted on previous loans; found guilty of exam malpractices, felonies, or drug offences will not be considered.
Students with parents who have defaulted in respect of previous loans will not be considered.

All Applications will be submitted through the Students Affairs Office of each Institution via a list of all qualified applicants from the institution accompanied by a cover letter signed by the Vice-Chancellor or Rector or the head of the institution and the student affairs.

Any beneficiary of the loan to which this Act refers shall
commence repayment two years after completion of the National Youth Service Corps programme.

(Repayment shall be by direct deduction of 10% of the beneficiaries salary at source by the employer.

Where the beneficiary is self-employed, he shall remit 10% of his
total profit monthly to the Student loan account to be prescribed by the Bank.