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Under the fourth category, guarantors who stood surety for loan beneficiaries who have not fully repaid their loans 10 years after completing their course of study and have no SSNIT contributions, will repay the loan.
The statement said as of January 2014, approximately 70 per cent (134,189) loan beneficiaries had completely repaid their loans while 30 per cent (58,557) were still indebted to the Trust.
The SSNIT Students Loan Scheme was started in January 1988 and was administered by the Social Security and National Insurance Trust (SSNIT) on behalf of the government.
The main objective of the scheme was to assist students in tertiary institutions defray personal and academic expenses, including the cost of boarding, lodging, books, equipment and for such other purposes as may be necessary for their course of study.
As of the end of the loan disbursement period of January 2013, 192,746 students had benefited from the scheme.
Students Loan Trust Fund
In 2006, the Student Loans Trust Fund (SLTF) was set up by the government as a permanent body to replace the SSNIT Student Loans Scheme.
New applicants for the scheme from 2006 were, therefore, serviced by the SLTF, and not SSNIT.
After the cessation of the SSNIT Student Loans Scheme, continuing students under the SSNIT Scheme, however, continued to be paid till January 2012.
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