Effective April 1, students seeking a loan from the Students’ Loan Bureau (SLB), will now only require one guarantor instead of two.
This was announced by the Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, who said this is being done to broaden accessibility to this loan facility, particularly for low-income families.
“One hurdle that creates a disproportionate barrier to access for low-income families is the need to find two guarantors in order to qualify for a student loan,” he said while opening the 2021/22 Budget Debate in the House of Representatives, on Tuesday (March 9).
Dr. Clarke pointed out that the Government has also taken several other steps to improve accessibility and ease students’ financial burden.
He noted, for example, that over the past five years, the Government lowered interest rates on student loans from as high as 12 percent to as low as four percent for some loans, and has also forgiven portions of loans for persons working for registered charities.
In the meantime, Dr. Clarke informed that during the 2020/21 fiscal year, the SLB received almost 14,000 applications for student loans, an increase of five percent over the previous year.
“I am pleased to report… that of all those 14,000 who applied, the vast majority, or 98 per cent, were approved,” he said.
He further informed that during the fiscal year, the Government increased the moratorium on the starting date for repayment of student loans from six months to 14 months after graduation, “reflecting our commitment to provide greater flexibility and breathing room to our students”.
JIS – ALECIA SMITH
