Do You Pay NSFAS Back After Studying In 2026

Do You Pay NSFAS Back After Studying In 2026

Understanding NSFAS Repayment in 2026: Are You Liable?

The main focus of NSFAS is to bring financial relief to South African students who are studying in either public Universities or TVET colleges, but come from a family with a household income of less than R350,000 annually. Most of these students depend on NSFAS to help them throughout their studies at the tertiary level to cater for accommodation, tuition fees, meals, transportation, and even the cost of books. But one may ask, after receiving all these funds, are you expected to pay back? This guide will cover all the needed answers.

Nsfas operates in two different ways in loans or bursaries. The National Student Financial Aid Scheme (NSFAS) is mainly known for offering bursaries to financially needy and academically deserving students. In most cases, students do not have to repay NSFAS, especially if they qualify under the bursary system. As long as you meet the academic requirements, attend classes regularly, and complete your course, your funding is considered a non-repayable bursary.

However, in 2026, there is also a new NSFAS loan option available for students from the so-called “missing middle, those whose family income is too high for a bursary but too low to afford university without help. If you are in this group and apply for the NSFAS loan, you will need to pay it back once you are employed and earning above a set threshold.

So, the answer to whether you have to pay NSFAS back after studying in 2026 depends on the funding model you qualify for. If you are receiving a bursary, no repayment is needed. But if you are approved for the income-contingent loan, you will be expected to repay it in the future.

Types Of NSFAS Funding

NSFAS funds in two different ways, and they include:

Bursaries: NSFAS grants bursaries to eligible students, and no repayment is required.
Loans: NSFAS offers loans instead of bursaries. Loans require repayment; however, they come with advantageous terms and conditions.

Do You Pay NSFAS Back After Studying In 2026

No, if you are funded through a bursary and meet the rules.
Yes, if you receive a loan, especially as a “missing middle” student.

NSFAS Bursary: No Repayment Needed

For the majority of university and TVET college students who qualify for the NSFAS bursary, you do not have to repay the money after you finish your studies. This funding is meant for students from households earning R350,000 or less per year, and it covers:

Tuition fees
Accommodation
Transport
Learning materials
Personal care allowance

To keep your bursary, you must meet certain conditions:

Pass your modules
Attend classes regularly
Finish your course within the allowed time

If you meet these requirements, NSFAS writes off the funding as a non-repayable bursary. That means you leave university or college with your qualification, not debt.

NSFAS Loan for the Missing Middle: Repayment Required

Starting from recent years and continuing into 2026, NSFAS introduced a loan scheme for the “missing middle” students from families earning between R350,000 and R600,000 per year. These students do not qualify for full bursaries but may receive funding in the form of a loan.

If you fall into this category and receive a loan from NSFAS, you will have to repay it after completing your studies.

The repayment starts only when:

You are employed
You earn above a certain income threshold (set by NSFAS)

The repayments are income-based, meaning you won’t have to pay large amounts if you earn a modest salary.

What If You Drop Out or Fail?

If you are receiving a bursary and drop out or fail repeatedly, NSFAS may cancel your funding.
In some cases, you might have to repay a portion of the money, especially if you did not meet the agreement conditions.
It is important to understand your contract and stick to the academic performance rules.

Ways To Pay NSFAS Money Back 2025

NSFAS offers various repayment methods to accommodate borrowers’ preferences and convenience. These options include

direct salary deduction,
monthly debit orders, or manual payments.

Who Has to Pay Back NSFAS?

Not all NSFAS funding needs to be paid back, but there are some situations where repayment is required:

Students Funded Before 2018:

Before the bursary system was introduced, NSFAS worked mainly as a loan scheme.
If you received funding before 2018, you are expected to repay the money once you start earning above a certain income level.

Students Who Do Not Meet Bursary Rules:

Even with the current bursary model, you may have to repay the funds if you fail your course, change to a programme that NSFAS does not cover, or drop out without informing them.
In such cases, your bursary could be turned into a loan.

Students with NSFAS-managed loans:

Some students, especially postgraduates or those in special programmes, may receive loan funding instead of a bursary.
These loans must be repaid once you are working and earning an income.

What Happens If You Do Not Pay NSFAS Back NSFAS For 2026

Failing to repay the NSFAS loan when required can have serious consequences:

Credit Blacklisting:

If you do not pay the loan, NSFAS can report you to the credit bureaus. This damages your credit score and can prevent you from:

Getting loans for a house, car, or personal use
Applying for jobs that require financial background checks
Renting property or signing financial agreements

Legal Action:

NSFAS can take legal steps to recover the debt. This might include:

Sending letters of demand
Taking you to court
Deducting money directly from your salary (wage garnishment)

Interest Charges and Penalties:

Although NSFAS loans have low interest rates, the longer you take to repay, the more interest adds up, making your debt grow over time.

Losing Future Financial Aid:

Defaulting on repayment can disqualify you from getting more help from NSFAS or other government-funded schemes in the future.

Stress and Reputational Damage:

Dealing with debt collectors and credit problems can be mentally and emotionally stressful.
It may also affect your reputation, especially in professional environments.

NSFAS Contact Information

Website: www.nsfas.org.za
Email: info@nsfas.org.za
South African students: 0860 067 327
International students: +27 21 763 3232
Physical Address: 10 Brodie Road, Wynberg, Cape Town, South Africa, 7700
Postal Address: Private Bag X1, Plumstead, Cape Town, Western Cape,8001 South Africa, 7801

Whether or not you pay NSFAS back after studying in 2026 depends on the type of funding you received. If you were awarded an NSFAS bursary and you followed all the rules, like passing your courses and completing your qualification, you won’t need to repay anything. However, if you received an NSFAS loan (especially as a “missing middle” student) or failed to meet the bursary conditions, you will need to pay back the funds after graduating. For more information, visit the official website.

Frank Oduro