By Oyinkansayo Wole-Bodunde.
The Nigerian Education Loan Fund (NELFUND) has introduced a change to its allowance payment structure for loan beneficiaries.
Instead of paying allowances for 12 months, the fund will now give out funds on a per-session basis, aligning with each institution’s academic calendar.
This shift aims to improve operational efficiency, as the previous uniform payment schedule was challenging due to varying academic calendars. By aligning payments with academic sessions, NELFUND ensures timely and relevant disbursements to beneficiaries.
Mrs. Oseyemi Oluwatuyi, Director of Strategic Communications said, “The second consideration is that the new policy aims to eliminate the risk of duplicating upkeep payments to the same student within the same institution and academic session. This will, therefore, help NELFUND to maintain the integrity of its payment system and ensure that funds are utilised effectively by recipients.”
The per-session payment system offers several benefits, including fair and transparent management of funds, effective utilization, and timely receipt of stipends by students. According to the Fund, “The per-session upkeep payments will not only be managed in a fair and transparent manner that aligns with each institution’s academic schedule and funds utilised effectively, but will also enable students to receive their stipends on time.”
To ensure accuracy and accountability, NELFUND is upgrading its portal to automatically track and reflect upkeep loan disbursements for each student within the relevant academic session. This move will help maintain the integrity of the payment system and prevent duplication of payments.
