NELFUND Condemns Schools Withholding Student Refunds, Warns Against Unjustified Fee Increases

The Nigerian Education Loan Fund (NELFUND) has condemned what it described as unethical practices by some tertiary institutions, accusing them of delaying or refusing to refund students whose tuition fees had already been paid before the Fund released loan disbursements.

The Fund also expressed concern over reports that some institutions have increased tuition fees and other charges, warning that such actions could undermine the objectives of the Federal Government’s Student Loan Scheme.

NELFUND made its position known in a statement issued on Monday and signed by its Director of Strategic Communications, Oseyemi Oluwatuyi.

Refund Delays Draw NELFUND’s Attention

Under the student loan programme, approved tuition fees are paid directly to institutions on behalf of beneficiaries. However, some students had already paid their fees before their loan applications were processed and disbursements were made.

According to NELFUND, affected students should be refunded once institutions receive the corresponding tuition payments from the Fund.

The agency, however, said reports reaching it indicate that some institutions have delayed those refunds or failed to process them altogether.

As a result, it has commenced engagements with the affected institutions and relevant authorities to address the situation and ensure compliance with the guidelines of the scheme.

Concerns Over Rising Tuition and Other Charges

Beyond the refund issue, NELFUND said it is concerned about reports of arbitrary increases in tuition fees and other institutional charges.

The Fund noted that the student loan initiative was introduced to improve access to higher education and reduce the financial burden on students and their families.

It therefore warned that excessive or unjustified charges could weaken the impact of the programme and place additional pressure on beneficiaries.

Student Loan Scheme Not Meant to Create New Burdens

Explaining the purpose of the initiative, NELFUND stressed that the programme was designed to remove financial barriers that prevent many Nigerians from pursuing tertiary education.

“The Student Loan Scheme was established to remove financial barriers to higher education, not to create additional burdens for Nigerian students,” the Fund stated.

It added that institutions participating in the programme are expected to operate with transparency, fairness, and accountability.

According to the Fund, all charges imposed on students should remain clear, justifiable, and consistent with the objectives of the scheme.

Fund Assures Students of Protection

NELFUND said efforts are already underway to ensure that eligible students who paid their fees before loan disbursements receive the refunds due to them.

The agency also reaffirmed its commitment to protecting the interests of beneficiaries and safeguarding the integrity of the Federal Government’s flagship education financing initiative.

While engagements with institutions continue, NELFUND maintained that participating schools must uphold the principles of transparency and accountability that underpin the student loan programme.