The National Student Financial Aid Scheme (NSFAS) approved just 1,300 students for loan funding in 2025, despite receiving more than 65,000 applications. This was revealed during a recent National Council of Provinces Committee (NCOP) Education, Sciences and Creative Industries meeting.
NSFAS provides financial support to eligible students, covering tuition and registration fees, as well as allowances for food, accommodation, and learning materials.
In 2024, NSFAS introduced a student loan scheme aimed at assisting missing-middle students pursuing tertiary education. However, only a small fraction of applicants have been approved for loans in 2025.
Why Were So Few NSFAS Loan Applications Approved?
A key reason for the low approval rate is that more than 41,000 loan applicants actually qualified for the NSFAS bursary instead.
NSFAS confirmed that only 1,321 applicants met the eligibility criteria for loans, including financial and academic requirements. Additionally, 800 students were rejected due to defaulting on previous loans.
"To date, we have 1,321 eligible loan applicants that have passed the financial and academic eligibility and are not previous loan defaulters," NSFAS stated.
More than 1,000 students were disqualified for exceeding the N+ rule, while 2,380 applicants failed to meet academic eligibility requirements.
Thousands of Applications Still Under Review
Approximately 8,770 students could still be approved for loans pending academic verification. Additionally, 328 applications are currently being processed by the ICT department.
Loan Payments Expected by March 2025
NSFAS confirmed that all payments for 2024 loan applicants will be made by 31 March 2025, provided institutions submit the necessary information. Approved 2025 applicants will receive their loan payments by the same deadline.
