[Photo: SUPPLIED]

Tertiary students sponsored by the Tertiary Scholarships and Loans Service will benefit from fee-free banking services and faster account-opening processes following the signing of a Memorandum of Understanding with HFC Bank.

The agreement, signed earlier this week, strengthens a partnership between the two institutions that dates back to the establishment of TSLS in 2014.

Under the new arrangement, eligible TSLS-sponsored students will not be required to pay account-opening or maintenance fees, allowing them to retain more of their scholarship allowances for educational and living expenses.

Students will also be exempt from account penalty fees during their sponsorship, while simplified procedures will help fast-track account openings once scholarships are confirmed.

However, all account openings will remain subject to standard identification and verification requirements.

TSLS Chief Executive Dr Apisalome Movono says the agreement is an important step towards removing financial and administrative barriers faced by tertiary students, particularly those from rural, maritime and financially disadvantaged communities.

He says opening a bank account can be one of the first challenges students encounter when leaving their communities to pursue higher education.

Dr Movono says removing monthly administrative fees will also make a difference for students and families managing limited financial resources.

Meanwhile, HFC Bank Chief Executive Rakesh Ram says the agreement will ensure students receive more direct benefits from the longstanding partnership.

Ram says the bank also looks forward to collaborating with TSLS on financial literacy initiatives to prepare students for managing their finances as they transition from tertiary education into employment.