Students to begin repaying loans 2 years after NYSC –  NELFUND MD

Students to begin repaying loans 2 years after NYSC –  NELFUND MD

The Managing Director and CEO of the Nigerian Education Loan Fund (NELFUND), Mr. Akintunde Sawyerr, has announced that Nigerian students currently benefiting from the loan scheme will not be required to begin repayment until two years after completing their National Youth Service Corps (NYSC).

Sawyerr made this statement on Saturday during an appearance on a TVC News program.

He explained that this policy applies to graduates who have secured employment, with the responsibility for loan repayment falling on their employers.

According to Sawyerr, employers will be required to deduct 10% of the employee’s salary each month and remit it directly to the Nigerian Education Loan Fund.

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Details of the Repayment Process
Sawyerr elaborated on the repayment process and the role of employers in ensuring that loans are repaid:

“Two years after completion of their NYSC, there is a requirement for the loans to be paid back, but the requirement to pay the loan back is on the employer.

“For those who have managed to secure jobs, the employer goes to a database, checks the name and the NIN number of the person they are about to employ, then they contact NELFUND to notify them that they are about to hire the individual and will start making deductions from their salary to the Fund.

“That deduction is 10% of that individual’s salary. At no point is the obligation on the individual to pay back themselves.”

He further clarified that self-employed individuals would be responsible for repaying their loans on their own.

Sawyerr also emphasized that those who remain unemployed after their NYSC are not obligated to begin loan repayment.

Students to begin repaying loans 2 years after NYSC –  NELFUND MD