The Federal government has dished out requirements and guidelines on how students who are in interested in the loan could apply and access the Students’ Loan which was recently signed into Act by President Bola Ahmed Tinubu. According to the guidelines, prospective students seeking access to the loan are required to follow specific steps to initiate their applications, which include submitting relevant documents to their respective banks. Persons eligible for the loan must have admission into accredited institutions, their parents’ income limit not exceeding N500,000 per annum. Applicants must provide a minimum of two guarantors each who must be civil servants of at least level 12 in the service, Lawyers with at least 10 years of post-call experience or Judicial officers or Justices of the peace. Students who are proven to have defaulted on any previous loan granted by any organisation or whose parents have defaulted on a student loan or any other loan granted to them, involved in examination malpractice or convicted of felony or offenses of dishonesty, or fraud are not eligible to access the loan.
Also, Students who have been convicted for drug offenses are disqualified from accessing the loan. Relevant documents through the applicant’s bank and a cover letter signed by the vice-chancellor, rector, or the head of the institution, along with the student affairs officer of the institution and a copy of the student’s admission letter should accompany the application as the Committee is obligated to communicate the status of the applicant’s application within 14 days of receiving the application. To ensure that loans are processed efficiently and promptly, the FG plans for the processing of applicants’ application and issuance to be completed within 30 days of the application reaching the Chairman of the Committee, subject to Section 18 (4) of the Act. …… In the move to enhance access to high education in Nigeria, President Bola Tinubu has signed the Student Loan Bill into law, which ushers in a new era for education funding in Nigeria. The Student Loan Act opens doors to affordable education and has a straightforward, streamlined application documentation process.
… ‘It’s Discriminatory’ ASUU, ASUP kick
Meanwhile, Prof. Emmanuel Osodeke, National President of the Academic Staff Union of Universities (ASUU), and Anderson Ezeibe, National President of the Academic Staff Union of Polytechnics (ASUP), reacting to the signing of the Student Loan Bill, expressed their concerns over the Act. Osodeke described the Act as discriminatory between the children of the rich and the poor. Stating that the union is yet to take a position on the matter, he noted that the student loans would end up encumbering the children of the poor with debt after graduating. According to Osodoke: “This is discriminatory. If what I read online is correct, it said it is only for children whose parents earn at least N500,000 per annum. That means if your father earns more, you won’t benefit.” For his part, Ezeibe said while the bill gives the grace of two years for the payment of loans, there is no guarantee that the student would have gained employment within the said period. He said: “I have not studied the bill, and we don’t want to react on the surface.
But I have seen one area that will not be practicable. “It says that students should refund the money two years after NYSC. But what is the provision for someone who is not working after NYSC? And will they all get jobs immediately after NYSC?” He queried. Emmanuel Adejuwon, Coordinator, National Association of Nigerian Students, Zone D, also faulted the repayment terms. He said that though the bill is commendable, the ultimatum for repayment is not feasible. He said: “As we all know, there is no work anywhere, and most graduates don’t get work immediately, how will they pay back? How will it work when most of our graduates do not get jobs? Is there any plan or opportunity for those that have no work two years after NYSC?”, he asked.
