The University of Benin (UNIBEN) and the Nigerian Education Loan Fund (NELFUND) have disowned a circular currently in circulation that purportedly outlines guidelines for the repayment of loans obtained under the student loan scheme.
Both institutions described the document as fake and misleading.
A circular dated January 23, signed by UNIBEN Registrar A. A. Bobola, reportedly informed indebted students of the procedure for NELFUND loan repayment from the Nigerian government.
It stated: “This is to inform all students of the University of Benin who are beneficiaries of the Nigerian Education Loan Fund (NELFUND) that the University Management has received the official guidelines for the repayment of student loans.”
The circular highlighted steps for the loan repayment, urging indebted students to “strictly follow the two-step procedure.”
The development, however, has sparked intense debate across social media platforms, with students and stakeholders expressing confusion and concern.
The extant law establishing the Student Loan Act stipulates that repayment is not required until the beneficiary is employed.
“How on earth are you telling an unemployed person to pay back a loan? Government of criminals,” a Facebook user, Kush Alabi, remarked.
In a statement on Saturday, the university said the alleged circular did not originate from the institution or any of its official channels.
UNIBEN urged NELFUND subscribers, members of the university community, and the general public to completely disregard the document.
According to the university, no repayment guidelines have been issued by the NELFUND office or the Federal Government regarding the education loan scheme, contrary to claims contained in the circulating notice.
The University wishes to categorically state that the said circular is fake and did not emanate from any authorised source,” the statement read.
It further advised students and stakeholders to rely only on information released through official university platforms and relevant government agencies to avoid being misled.
In a statement by NELFUND’s Director of Strategic Communications, Oseyemi Oluwatuyi, the agency explained that it has not issued any directive requesting students to begin repayment of the credit facility.
The statement added: “The repayment framework for NELFUND loans is clearly stipulated in the NELFUND Establishment Act, which provides that no beneficiary is required to repay the loan while still in school; no repayment is required while a beneficiary remains unemployed after graduation, and loan repayment only commences in line with the provisions of the law, after gainful employment, as applicable.
“NELFUND remains fully committed to its mandate of expanding access to higher education by providing transparent, fair, and student-friendly financing solutions. Any official information regarding loan administration or repayment will only be communicated through verified NELFUND channels and formal government platforms.”
The Fund urged students, parents, institutions, and the public to disregard the fake circular and related publications, and to avoid spreading unverified information capable of causing unnecessary anxiety.
