Byron Lukas
The National Student Financial Aid Scheme (NSFAS) has moved to clarify recent reports regarding accommodation payments.
While headlines suggested arrears of more than R62 million, the organisation stressed that it does not pay associations such as the Private Housing Student Association (PHSA) but instead processes payments directly to landlords.
Why Payments Can Be Delayed
NSFAS explained that funds are only released after claims have completed validation and verification checks. Delays often arise from:
- Students not being funded, despite living in accredited properties
- Missing or late submission of registration data
- Invoice discrepancies or incorrect claims
- Properties listed as accredited but failing compliance standards
These checks are designed to protect both students and the scheme from fraud and ensure accuracy.
The Numbers That Matter
In April 2025, NSFAS brought forward its disbursement date to 17 April and released R744,406,752 to landlords to help reduce arrears.
The organisation rejected claims that it had run out of funds, reaffirming that payments continue to flow as long as student and institutional data are validated.
Student Hardship Acknowledged
NSFAS admitted that some students have been placed in difficult situations due to delays, with landlords in some cases denying re-entry.
To prevent further hardship, the scheme is working closely with institutions to resolve bottlenecks and ensure accommodation security for students.
Reviewing the System
A full legal review of NSFAS’s accommodation management process is currently underway, particularly concerning the role of third-party partners. Recommendations from this review will be adopted to improve:
- Transparency
- Integrity of the payment system
- Efficiency in processing validated claims
The Takeaway
While NSFAS acknowledges challenges in the accommodation payment process, the organisation insists that it remains committed to supporting students and collaborating with all stakeholders to ensure timely, accurate disbursement of funds.
