“Some institutions have received student loan disbursements directly into their accounts yet neglect to inform the affected students or record the payments…”
The National Orientation Agency (NOA) has uncovered alleged unethical practices by some universities and banks in handling student loan disbursements.
Director-General Lanre Issa-Onilu, after a meeting with NELFund MD Akintunde Sawyerr, disclosed that certain institutions are colluding with banks to delay or conceal funds from beneficiaries.
“Recent findings by NELFund have shown that some institutions have received student loan disbursements directly into their accounts yet neglect to inform the affected students or record the payments…” Sawyerr stated.
Issa-Onilu warned of sanctions and directed NOA state offices to gather reports from students nationwide. He emphasized that such misconduct undermines the integrity of the loan scheme, which was re-enacted in April 2024.
Despite approvals, some students remain unpaid, with others receiving inconsistent amounts, sparking confusion over their obligations. Legal actions are being considered against non-compliant schools.
