The National Student Financial Aid Scheme (NSFAS) indicated how allowances will be paid to students during the 2025 academic year. NSFAS provides comprehensive bursaries and student loans to deserving learners enrolled in approved courses at universities and Technical and Vocational Education and Training (TVET) colleges.
This NSFAS funding includes tuition and registration fees as well as several allowances for food, accommodation, and learning materials.
These allowances are not mere financial transactions; they are a lifeline for students who depend on them for their basic needs, including food, transportation, and study materials.
According to the The South African Students Congress , NSFAS has indicated that allowances will be paid directly to university students in 2025. This was revealed during a meeting with stakeholders.
We have however held fruitful engagements with NSFAS, whereby they have brought us into confidence about their plans to disburse allowances more efficiently and effectively.
The union said they would welcome this allowance payment method.
We however are delighted to report that NSFAS has in our meeting today committed that by the beginning of the 2025 academic year, all students should be receiving their allowance directly from NSFAS.
The importance of timely allowance payments cannot be underestimated as delays have contributed to student hunger and possible evictions.
Challenges with the payment of accommodation allowances have persisted in recent months putting students at risk of being evicted from their residences. In an extreme case, this left NSFAS scrambling to prevent evictions by pleading with landlords and processing that all outstanding allowances would be paid
Delays in payments exacerbate the already precarious financial situations of many students, leading to increased stress and hindering their academic performance. This issue is not just a logistical failure; it is an assault on the dignity and well-being of the working-class youth.
The union also echoed NSFAS’ previous calls for accommodation providers to submit their claims for accommodation payment.
Current Allowance Payment Arrangements
University students receive allowance payments from their universities while TVET College student's allowances are paid directly from NSFAS into their bank accounts.
With regard to universities, we’ve noted and have cautiously accepted a plan for the timeous payment of allowances via institutions. We somewhat begrudgingly accept this compromise as we still believe that NSFAS must completely abolish the use of all intermediaries.
This follows a decision taken by NSFAS to terminate the contracts of service providers related to the Direct NSFAS allowance payment system. The termination of these contracts is subject to legal proceedings.
