The Nigerian Education Loan Fund (NELFUND) has dismissed as false a viral publication claiming that President Bola Tinubu approved life imprisonment for students who fail to repay their education loans after graduation.
NELFUND described the claim as “fake news” in a statement shared on its official X account, warning Nigerians against relying on the fabricated publication being circulated online.
The agency also shared an image of the purported newspaper front page, which carried a headline alleging that students who failed to repay their loans after graduation would be sentenced to life imprisonment.
The doctored publication was dated Thursday, May 27, 2027, and claimed that President Tinubu had declared that student loan beneficiaries who defaulted would face life imprisonment.
However, NELFUND placed a prominent “FAKE” stamp across the image, stressing that the publication did not originate from the Federal Government.
The clarification is the latest in a series of efforts by the Fund to counter misleading information surrounding Nigeria’s student loan scheme.
NELFUND has previously issued warnings over fabricated circulars and false notices relating to the alleged suspension of student loan disbursements and other aspects of its operations.
The Fund was established to administer zero-interest education loans to eligible Nigerian students in public tertiary institutions, covering institutional charges and, where applicable, upkeep allowances.
Under the existing student loan framework, repayment does not begin immediately after graduation.
Rather, repayment becomes due two years after the completion of the National Youth Service Corps programme, with repayment obligations linked to whether a beneficiary is employed or earning an income.
For beneficiaries in paid employment, 10 per cent of their monthly salary, wages and other income is deducted at source by their employer for loan repayment.
Self-employed beneficiaries are required to remit 10 per cent of their total monthly profit to the Fund.
NELFUND further provides an arrangement for beneficiaries who remain unemployed or without an income after the repayment period. Such beneficiaries may apply for an extension by submitting a sworn statement in accordance with procedures prescribed by the NELFUND Board.
The agency’s latest clarification is expected to reassure current and prospective beneficiaries of the student loan scheme, particularly as misleading claims about loan repayment obligations continue to circulate online.
The Fund urged Nigerians to verify information relating to the student loan programme through its official communication channels and other credible sources before sharing such reports.
