The National Student Financial Aid Scheme (NSFAS) provides comprehensive bursaries and student loans to deserving learners enrolled in approved courses at universities.
This funding includes money for tuition and registration fees as well as several allowances for living expenses, accommodation/transport and learning materials.
NSFAS confirmed that universities will be responsible for paying student allowances for the remainder of the 2024 academic year.
How Did We Get Here
In 2023, NSFAS hired four service providers to facilitate the payment of allowances to students.
However, following an investigation into alleged corruption and subsequent legal action, these companies are no longer responsible for NSFAS allowance payments.
In April 2024, NSFAS confirmed that Universities will be responsible for the payment of NSFAS allowances to students until the end of July 2024.
However, in July, the scheme concerned that universities would continue to pay NSFAS allowances until the end of the year.
Following a meeting between Universities South Africa (USAF) and the NSFAS Administrator, Mr F Nomvalo, NSFAS has decided that university students' allowances will continue to be distributed through universities for the remainder of the 2024 academic year.
NSFAS confirmed that it will continue to disburse allowances and tuition fees to institutions based on valid student registration data.
Universities must provide accurate student registration information to the bursary scheme to ensure all students receive allowance payments
Institutions are urged to validate student data before disbursing allowances to ensure accuracy.
Progress On The New NSFAS Allowance Payment System
In May, NSFAS Administrator Freeman Nomvalo said a new system for allowance payments will be fully developed by September 2024.
It remains unclear whether this will remain the case after the scheme’s confirmation that universities will continue disbursing NSFAS allowances to students.
Further information regarding allowance distribution channels for the 2025 academic year will be communicated later.
