The National Student Financial Aid Scheme (NSFAS) has extended its university-led allowance distribution system as part of efforts to improve efficiency, accountability, and transparency in student funding.
Under the revised approach, universities will be required to submit monthly remittance reports detailing all allowance payments made to students. In addition, accommodation allowances for students living in private residences will now be paid directly to accredited accommodation providers, rather than through students.
Acting NSFAS board chairperson Mugwena Maluleke stated that the changes form part of a new transitional framework supported by an upgraded digital portal. He believes these measures will better align payments with the academic calendar, improve transparency, and strengthen financial management within the system.
“We will introduce a data-driven reporting system to ensure timely reconciliation between NSFAS and accommodation providers, guaranteeing prompt payment to providers,” said Maluleke. He added that NSFAS is also exploring the introduction of an in-house accommodation payment function, which would see the payment process managed directly by the scheme.
NSFAS has further confirmed that on 1 February, it will release an upfront payment covering the full book allowance, as well as one month’s worth of meal, accommodation, personal care, and travel allowances. Universities will be responsible for ensuring the correct disbursement of these funds to qualifying students.
Maluleke has urged institutions to act swiftly in submitting accurate student information, noting that the NSFAS registration upload portal opened on 5 January 2026.
“Universities are strongly encouraged to submit complete and accurate registration data as early as possible. Disbursement will be strictly based on the accuracy and completeness of the information received,” he said.
NSFAS maintains that these reforms are aimed at ensuring reliable funding flows while safeguarding public funds and improving the overall student funding experience.
VOC News
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