The National Student Financial Aid Scheme (NSFAS) is holding consultations with universities in the Eastern Cape to address a range of student funding concerns. These consultations are a proactive step taken by the financial aid scheme to ensure students receive the funding they are entitled to.
NSFAS spokesperson Ishmael Mnisi says the financial aid scheme has urged the universities to submit accurate registration data to NSFAS. This data is crucial for ensuring timely and correct allocation of allowances to students.
They explain that by having up-to-date information, NSFAS can guarantee that students receive the funding they are entitled to.
2024 NSFAS Allowance Payment Plan
Mnisi confirmed that Universities have received two upfront payments to pay student allowances. This is a diversion from NSFAS’ allowance payment policy which sees allowances paid to students using the direct payment system.
The spokesperson revealed that NSFAS will assist universities with distributing accommodation allowances directly to accommodation providers.
Student allowances have been paid by universities for February and March 2024. The remaining allowances for the 2024 academic year will be paid by Fintech companies contracted by NSFAS to distribute allowances.
Students are reminded to register for NSFAS bank accounts with the service provider allocated to their institution.
According to section 6.3.13 of the Funding Guidelines, students who are funded by NSFAS must onboard for direct payment within ten days from their academic term registration date.
Loan vs Bursary Clarification
Mnisi confirmed that NSFAS will provide student loans to more than 30,000 deserving students.
NSFAS student loans were introduced in 2024 as part of the Comprehensive Student Funding model with the aim of providing financial aid to missing middle students.
While only 30,000 student loans will be administered by NSFAS in 2024, the financial aid scheme is set to administer more than one million bursaries.
Outstanding NSFAS Allowances From 2023
NSFAS acknowledged errors that led to unpaid allowances for students in 2023. The organisation is urging universities to submit accurate data to prevent similar issues in the future.
Mnisi explained that NSFAS undertook a reconciliation process to ensure students were paid the correct allowances.
The allowances received by students are dependent on several factors including whether they live at home or in accommodation, the type of accommodation and even the type of course they are enrolled in.
Mnisi says if students' information was changed during the course of the 2023 academic year, their allowances may have been changed or even suspended.
