How does nsfas differ from other student loans

By | December 19, 2023

How does nsfas differ from other student loans

What is National Financial Aid?

How does nsfas differ from other student loans  : The National Student Financial Aid Scheme (NSFAS), a statutory body funded by the Department of Education, provides study loans to academically able but financially needy students. If you are a South African citizen you may be eligible for a National Student Financial Aid Scheme (NSFAS) loan for study at one of the country’s public higher education institutions. Much of an NSFAS loan can be converted into a bursary, which does not then need to be repaid, depending on one’s academic progress. A 100% pass rate would result in a 40% bursary rebate on an NSFAS loan. The size of the initial NSFAS loan ranges from R2 000 to R30 000. You should apply at your university’s financial aid office.

What is a Student loan?

This is a study loan offered to students by South Africa’s major banks, both to South Africans and to non-South Africans with valid study permits. Bank loans, unlike NSFAS loans, will also cover studies at a private institution. When applying for a bank loan, you will have to show proof of registration at an educational institution. You’ll also need somebody, such as a parent or guardian, to sign surety for you. Although you will only need to start repaying your bank loan once you’ve completed your studies, you will need to keep up the interest payments throughout the term of the loan.

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