University of Benin (UNIBEN) has disowned a viral circular purportedly directing NELFUND loan beneficiaries to commence repayment, describing it as fake and not originating from its offices. The Nigerian Education Loan Fund (NELFUND) has also debunked the claims, affirming that no such repayment directive exists under the scheme’s laws.
NELFUND
The controversial circular, dated Jan. 23 and allegedly signed by UNIBEN Registrar A.A. Bobola, claimed the university received official federal guidelines on NELFUND loan repayment and outlined a “strict two-step procedure” for affected students. It urged beneficiaries to comply carefully to avoid delays and notified the university community of the development.
Prof. Edoba Bright Omoregie (SAN), Vice-Chancellor of UNIBEN, swiftly disowned the document, confirming it did not emanate from the institution. NELFUND, in a statement by its Director of Strategic Communications, Mrs Oseyemi Oluwatuyi, described the reports as “false, misleading, and unfounded,” stressing that no repayment guidelines have been issued by the Fund or the Federal Government.
Under the NELFUND (Establishment) Act, 2024, signed by President Bola Tinubu, no beneficiary is required to repay loans while still in school or remains unemployed post-graduation. Repayment commences only after gainful employment, typically post-NYSC, with employers deducting up to 10 per cent of salary via a global standing instruction.
The Fund, which has disbursed N161.97 billion to 864,798 students from 1,361,011 applications as of early January, reaffirmed its commitment to transparent, student-friendly financing to boost higher education access. It warned against spreading unverified information, urging reliance on official NELFUND channels and government platforms.
NELFUND Managing Director Akintunde Sawyerr had earlier highlighted the scheme’s impact, with disbursements aligned to academic needs and institutional verification. The fake circular’s emergence, less than two years after the Act’s passage, has sparked concerns over misinformation targeting vulnerable students.
UNIBEN Registrar Ademola Bobola, known for prior authentic circulars on fees and NELFUND subscriptions, was linked to the document, though the university clarified its inauthenticity. Stakeholders, including parents and institutions, have been advised to disregard the circular to prevent undue panic.
NELFUND emphasised its focus on welfare, noting the scheme’s protections shield beneficiaries from premature repayment burdens. Official updates will continue through verified sources, as the Fund scales operations for the 2025/2026 session.
