The National Student Financial Aid Scheme (NSFAS) confirmed that outstanding allowance payments will be processed by the end of May 2025. This includes payments for the 2025 academic year and 2024 catch-up payments.
University accommodation payments and 2024 catch-up accommodation payments are scheduled for May 31, 2025,
This payment run seeks to honour the commitments made by CEO Waseem Carrim, who confirmed that unpaid accommodation claims and appeals would be resolved by 31 May 2025.
The government bursary scheme has grappled with billions of rands of debt to accommodation providers for several months.
NSFAS Unaccredited Allowance Cap
NSFAS recently announced that payment for unaccredited housing is limited to an annual cap of R25,000. The purpose of this policy was to encourage upgrades of housing and push providers to comply with NSFAS’ accreditation criteria.
Parliament's Higher Education Portfolio Committee Chairperson Tebogo Letsie argued that while penalizing non-compliant providers is justified, the decision to implement changes during the academic term was poorly timed.
They explained that students had already entered lease agreements, many of which had existed for years. With NSFAS reducing payments to R2,500 monthly, the financial shortfall fell to the students, many of whom are from financially disadvantaged backgrounds.
NSFAS Not Ready To Manage Accommodation
Carrim also admitted that NSFAS was unprepared to manage student accommodation after launching a pilot project without proper planning, feasibility studies, or legal frameworks.
The project, involving 17 universities and 23 TVET colleges, aims to improve access to safe, accredited housing via a digital portal. However, it led to widespread issues, including housing shortages and payment delays, with some students forced to find their own accommodation.
Carrim said the accommodation function was moved to the CEO’s office in April, and a legal review is underway. Discussions are ongoing to transition accommodation management back to institutions by 2026 in a fair and transparent manner.
The payment of accommodation fees prevents students from being evicted by private accommodation landlords.
