The National Student Financial Aid Scheme (NSFAS) has introduced a Loan Scheme to address the funding gap faced by "missing middle" students in South Africa. These are students who earn too much to qualify for a NSFAS bursary but cannot afford tuition fees independently.
NSFAS has released the Eligibility Criteria and Terms for the 2025 Student Loan Scheme.
NSFAS financial loans are specifically intended for students from the "missing middle" group who satisfy the eligibility criteria specified. NSFAS provides ongoing financial aid in the form of a loan, contingent upon the student's continued eligibility and available budget. Continued funding is not guaranteed; students must consistently meet eligibility criteria to retain financial aid.
Eligibility Criteria for the 2025 NSFAS Loan
- South African Citizenship: Applicants must be South African citizens or permanent residents with a valid South African ID.
- Institution: Students must be enrolled at a Public University or TVET College.
- Approved Qualifications: The chosen qualification must be included on the approved list for loan funding.
- Household Income: Annual household income must fall between R350,001 and R600,000.
Circumstances Leading to Loan Discontinuation
NSFAS may discontinue a student's loan under the following conditions:
- Income Changes: Changes in household income that exceed the eligibility threshold.
- Academic Performance:
- Universities: Students must maintain a minimum average of 60%.
- TVET Colleges: Students must pass 3 out of 4 subjects at Report 191 level or 5 subjects at the previous N-Level.
- Qualification Changes: Switching to a qualification not approved for loan funding.
- Alternative Funding: Receiving a full bursary or loan from another source.
- Non-compliance: Failing to meet university or TVET college attendance rules.
- Fraud: Committing fraud against NSFAS or providing false information.
- Funding Errors: Incorrect information from the institution or student leading to erroneous funding.
- Dual Registration: Having unresolved dual registration records with different institutions.
NSFAS Loan Appeal Process
Students facing loan discontinuation may appeal to NSFAS for reconsideration based on their individual circumstances.
