How NSFAS Loans Work in South Africa

The National Student Financial Aid Scheme (NSFAS) is a government-funded organization that provides financial assistance to students in South Africa.

NSFAS offers loans to eligible students to cover tuition fees, accommodation, study materials, and equipment.

How NSFAS Loans Work in South Africa

Loan Application Process

To apply for an NSFAS loan, students must submit an application on the myNSFAS portal.

Loan Disbursement

The loan disbursement covers:

  • Tuition Fees: Inclusive of registration fees
  • Accommodation: Paid directly to students or accommodation providers
  • Study Materials and Equipment: As determined by the Higher Education Institution or Technical Vocational Education and Training College

Repayment of the Loan

  • Repayment Term: Maximum period of 60 months
  • Student Responsibility: Notify NSFAS of employment within the first three months
  • Repayment Schedule: Provided by NSFAS, indicating minimum repayment amounts

Repayment Guidelines

  • Income-Based Repayment: Higher income results in higher monthly installments
  • Early Settlement: Allowed at any time, without advance notice
  • Prepayment: Allowed without penalty or notice

Interest Rate

  • Interest Rate: Set at the prime lending rate minus 100 basis points
  • Accrual Interest: Occurs until interest accrued equals the capital sum outstanding

Loan Converted into Bursary

  • Eligibility: Students achieving at least 70% average in all registered modules and completing studies within the minimum time
  • Discount: 50% discount of the total loan amount, subject to paying 50% of the loan amount first

NSFAS Contact

For more information or assistance with NSFAS loans, contact:

Website

Call Centre: 0800 067 327

Email: info@nsfas.org.za

WhatsApp: +27 63 093 5671

Office Address: The Halyard, 4 Christiaan Barnard St, Cape Town City Centre, Cape Town, 8001