Students and study loans are available in several countries of the world, but if you are a citizen of, or resident in Nigeria, you would agree they are quite obscure, and when they are known, students and interested persons are often at a loss on how to apply for it.
But with the global economic situations, it becomes most necessary for certain persons to seek funding outside of what they can personally afford, and when this happens, the usual first place to look; are the banks. The economic outlook of the nation makes it in a way that several individuals who desire education cannot afford it, but even in the most advanced nations too, student loans, grants and funding are commonplace.
If you have been wondering or even struggling to get a study loan in Nigeria, then this article is for you. Life’s already complicated for many, so we would make this article as simple and insightful as possible.
So, let’s dive in, have you been asking ‘’how can I get a students’ loan in Nigeria?’’ or ‘’what institutions or banks in Nigeria offer study loans’’ Here is you answer. But, first, let us understand the underlays of the Student Loan.
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What is a Student Loan?
Student loans are simple loans offered students for purpose of financing or aiding their studies. It can cover a range of aspects as tuition, accommodation, books, other study materials, feeding, trainings, etc.
It is distinct in its nature from other types of loan as it is mostly low interest rate, more flexible repayment schedule, longer tenure and reduced requirements.
What do I need to get a Student Loan in Nigeria?
Loan requirement differ by the offering institution, and so the requirement for any student loan would depend on the institution offering the loan.
How to Get a Student Loan in Nigeria.
There are a couple of ways to secure a student loan, but the most popular is through financial institutions which include commercial banks, Microfinance banks, Loan and Grant Cooperatives, Angel Investors, Government, Family, Friends, etc.
But for the purpose of precision and efficiency, we will focus on Student Loans via Commercial Banks.
What banks are offering student loans in Nigeria?
Below we provide a list and detailed explanation of the nature, details and requirement of the various banks of 7 Nigerian banks currently offering student loans.
The institutions and the facility they offer include:
- Access Bank Nig. Plc
- Guarantee Trust Bank School Fees Advance
- Fidelity bank Back2School loan
- First Bank Nigeria Plc Eduloan Programme
- First City Monument Bank Educational Loans
- Federal Government Education Loan
1. Access Bank Plc.
The Access Bank Plc students loan is offered students to provide for short-term educational financing (tuition, accommodation, etc.) from pre-primary school to post-graduate study and even payment for professional certifications.
Beneficiary students can access up to ₦5 million with no option to refinance.
Features of the Access bank student loan.
- Access up to ₦5 million
- Interest rate @ 20% p.a.
- Management Fee: 1% only
- Spread repayment over a period of 4 to 6 months
- Easy remittance of fees to school
- Option of Refinancing exists.
Requirements for Access bank School Student Loan.
- A completed loan application form
- Means of Identification (Preferably Government issued)
- Admission letter
- Tuition Bill
- Credit Checks
- Duly accepted offer letter & term sheet
- Copy of employment ID or valid means of identification belonging to you or your parent/sponsor
- Duly accepted offer letter & term sheet
Apply for the Access Bank Plc Loan
- Download the attached forms and fill in with accurate information
- Append your electronic signature (don’t know how to go about it? Very easy! Simply download any scanner app on your phone, scan your signature and save as image. Copy and paste the image on the form.)
- Submit completed form and all required documents at your branch
- Loan is processed for approval
- Loan is approved and offer is communicated to you for acceptance
- Upon receipt of the executed offer letter and your meeting the conditions, the loan is disbursed into your account and payment is made to the school
- For refinancing, evidence of payment made will be required
Apply for the Access Bank Student Advance
2. Guarantee Trust Bank School Fees Advance
The Guarantee Trust Bank School Fees Advance Fees Advance is a loan facility designed to finance the payment of your child’s/ward’s school fees for schools/institutions in Nigeria only. This facility is available to members of staff of public and reputable private organizations whose salaries are domiciled with the Bank.
It cannot be used to fund studies overseas or abroad.
Features of the Access bank School Student Loan.
- Up to N5 Million School Fees Advance. Maximum tenor of 4 months per request.
- Very Competitive interest rate. Equal monthly repayments comprising of principal and interest.
- Immediate access to funds for the prompt payment of your child/wards school fees.
Apply for the GTB School Fees Advance
- You are required to submit Completed Application Form and Employer Undertaking Form.
- Provide School Fees bill and Credit Insurance.
- Ensure that staff terminal benefit is domiciled in GTBank or obtain Corporate Guarantee.
Apply for the GT Bank school fees advance
3. Fidelity bank Back2School loan
This facility is designed to help you settle the kids back in school comfortably.
Features of the Fidelity bank EduLoan.
- You can receive up to N10,000,000 with Eduloan
- Requirements are easy to meet.
Apply for the Fidelity Bank Plc Eduloan
4. FirstBank Nigeria Plc
This loan can only be issued schools, who can in turn fund its students or pupils.
Features of the First Eduloan.
- It has a flexible repayment plan spread for 90 days
- Access to a maximum amount of ₦10 million
- The only collateral requirement is domiciliation of school fees with First Bank
- The School must have been in account relationship with FirstBank for a minimum period of 6 months or 12 months with other banks
- Target markets are private schools duly under CAC and their State Government
- Lastly, the school population must be a minimum of 100 students
Apply for the First Bank Nig. Plc First Eduloan
The First City Monument Bank are in several categories, there is the
5. First City Monument Bank Educational Loans
(a). School Support Loan: which provide schools support loan of up to 20 million naira.
Benefit of proposition to Schools
- Financial Support towards student awards, sports, end of the year school activities etc.
- Access to FCMB School Management Solutions(1-month free trial)
- Up to N20million School Loan Without Collateral (Click here for more information) and other intervention loans at reduced interest rate
- Discounted and flexible health care plan for staff
- Participation in focused group sessions
This offer is only open to FCMB Business Customers.
Requirements for the FCMB School Support Loan
- Must be registered Business
- Customer must be atleast 6 months old with the bank
- Maintain operating balance of N100,000 and above.
- Must be active on at least two (2) e-channels products – FCMB Business App, FCMBOnline, Mcash, Mpos/POS, E-Portal, Webpay/Paystack etc.
- Customer Only qualifies for grant once per annum
(b) Support for Customers Aspiring to Study Abroad: which support students who intend to pursue quality education overseas.
Apply for the FCMB School Support Loan
Apply for the FCMB Support for Customers Aspiring to Study Abroad
7. Federal Government Education Loan
The Federal Government of Nigeria has several approved students funding via education banks and student loan boards by states at concessionary interest rates.
The government also approved the establishment of education funds by all states of the federation.