The University Students’ Association of Ghana (USAG) has weighed into calls for the Students Loan Trust Fund to immediately disburse student loans.
According to USAG, reports have been received of students receiving registration deadline notices over non-payment of fees. It stated that the delay in payment is affecting students who have applied for the support to aid their academic work.
“The payment becomes even more necessary in this period when there has been a failure by the enforcing authorities to ensure compliance with the reduction of school fees on our university campuses, amidst the current economic difficulties.”
University Students’ Association of Ghana
Reacting to the calls which began with the National Union of Ghana Students (NUGS) following delay for this academic year’s loan disbursement, USAG stated that it has in the wake of the release received even more worrying complaints about the gravity of the situation on the various campuses.
USAG laments non-payment of loans to students
The Association explained that the action by the Fund may affect repayment efforts students will make after completion of their studies.
“We further believe that a swift payment of the loans will give the Trust Fund an opportunity to imbibe and promote a culture of quick repayment among our student beneficiaries to allow more students to benefit from the loans.”
University Students’ Association of Ghana
In light of this, USAG urged student applicants to “hold on to their faith while we join forces to demand a swift payment to support their education”.
It will be recalled that the National Union of Ghana Students (NUGS) called on the Student Loans Trust Fund (SLTF) to disburse outstanding loans due students across the country. In a statement, the student-advocacy group urged government to expedite action in resolving the current situation.
Following this, the President of the National Union of Ghana Students (NUGS), Dennis Appiah Larbi Ampofo, expressed the need for a financially sustainable plan to be implemented by the Student Loans Trust Fund to ensure the timely disbursement of loans to students.
He stated that the no-guarantor policy initiated by government which takes out the initial requirement of a guarantor before students are granted loans cannot be blamed for the current delays in loan payments to students. He indicated that the delay being experienced is as a result of “funding gap”.
Mr Ampofo explained that if there is enough funding provided for the Student Loan Trust Fund, students won’t be found in a predicament where they are contemplating payments of fees, as is the case now. He highlighted that the current challenge of the Fund which has led to payment delays must be tackled immediately.
Furthermore, he iterated that instead of “mourning the institution” of a good policy such as the no-guarantor, there is the need to close the “funding gap because the no-guarantor policy is good because genuinely, students who do not have guarantors can also access the loan”.
The NUGS President lamented that the situation is critical because the Fund is in arrears and the troubles of students are compounded because unlike previous times when there was a guarantor policy, it limited the number of students who could apply for the student loan. However, he revealed that the no-guarantor policy has doubled the enrolment on the application and now there’s a lot of pressure on the system.
Additionally, Mr Ampofo expressed worry over this semester situation for students when it comes to payment of fees since registration is about ending. For some institutions such as the University of Cape Coast, he noted that registration has ended.
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