The National Student Financial Aid Scheme (NSFAS) has confirmed that all outstanding student allowance payments—including those for the 2025 academic year and 2024 catch-up payments—will be processed by the end of May 2025.
Accommodation payments, including outstanding claims for 2024, are scheduled to be finalised by 31 May 2025.
This follows a commitment by NSFAS CEO Waseem Carrim, who assured that unresolved accommodation claims and appeals would be addressed by this date.
For months, the NSFAS bursary scheme has been under pressure due to billions owed to accommodation providers, causing significant strain on institutions and landlords.
NSFAS Imposes R25,000 Cap on Unaccredited Housing
NSFAS recently introduced a payment cap of R25,000 per year for students living in unaccredited accommodation. The move aims to encourage landlords to upgrade facilities and comply with NSFAS accreditation standards.
However, Tebogo Letsie, Chairperson of Parliament’s Higher Education Portfolio Committee, criticised the timing of the policy, stating that implementing such changes mid-academic year was ill-considered.
Many students had already signed long-standing lease agreements. With NSFAS limiting payments to R2,500 per month, students—particularly those from low-income backgrounds—were left to cover the shortfall themselves.
NSFAS Admits Unpreparedness in Managing Student Accommodation
Carrim acknowledged that NSFAS was not ready to take over the management of student accommodation. The pilot programme, launched without adequate planning, feasibility studies, or legal frameworks, involved 17 universities and 23 TVET colleges.
While the project aimed to improve access to safe, accredited housing via a digital platform, it resulted in widespread challenges, including payment delays and accommodation shortages. Some students were even forced to secure housing independently.
To address these issues, Carrim revealed that the accommodation function was transferred to the CEO’s office in April 2025. A legal review is currently underway, and discussions are being held to return accommodation management to institutions by 2026 through a fair and transparent process.
Timely payment of accommodation fees remains essential to prevent student evictions from privately rented housing.
