–GTT, UG partner in landmark student loan repayment plan

A DEAL inked Monday between GTT and the Ministry of Finance will make it easier for University of Guyana (UG) students, past and present, to repay their student loans.
The deal, which will see students using the Mobile Money Guyana (MMG) app, was agreed to at the Student Loan Agency office at the university’s Turkeyen Campus by GTT’s Mr Justin Nedd, and Finance Minister, Mr Winston Jordan.
Explaining how the arrangement will work, Nedd said the student will be able to make payments by entering their unique Student Identification Number and the amount of money they wish to pay into their account.
He said the telecommunications company has been scanning the landscape on a continual basis in order to innovate for the good of the society.
He said that with MMG, the company offers a payment platform that will bring an affordable method to conducting business without the use of cash. Nedd noted that MMG is known for its “convenience” as a bill payment tool.
Minister Jordan told the gathering that the new arrangement is one in a series of initiatives that the ministry has been undertaking to ensure the ease with which students can make payments.
He said too that the criteria for qualifying for a loan are also being refined, and that the systems for guaranteeing student loans are also being examined.
“Bold adjustments are necessary in a dynamic environment,” Minister Jordan said, adding that students, graduates and guarantors must work together to reverse the trend of delinquent borrowers.
He said that since 1994, close to $10B was disbursed to past and present students in the form of loans. And of the 28,936 loans that have been issued to date, 20,301 are delinquent.
“It is an uncomfortable truth; one that cannot be ignored,” he said in reference to the inordinately high number of defaulters there are.
With reference to last year’s Jubilee offer, whereby defaulting students were given an opportunity to clear or bring their payments up to date, Minister Jordan said that while some paid, many opted not to take it up.
He spoke highly of the MMG arrangement, noting that the payment method is fast and secure. He noted, too, that the Student Loan Agency is working along with GTT and Western Union to develop a plan in which students can make payments Online.
Meanwhile, efforts are in train to strengthen the human resource capacity of the Student Loan Agency. A new director and administrative manager, as well as additional loan officers have been added to the roster of the agency, and plans are in train to improve the functions of the agency.