By: Rodger Mandhlazi
The National Student Financial Aid Scheme (NSFAS) is calling on former beneficiaries to start repaying their loans, as the scheme battles with an eye-watering R45 billion in unpaid debt dating back to 2018 and earlier.
Speaking at a media briefing in Pretoria on Wednesday, August 27, NSFAS CEO Waseem Carrim said much of this debt stems from the earlier days of the Tertiary Education Fund of South Africa (TEFSA), which NSFAS replaced in 1996.
“As a board and management, we cannot sit back and watch this substantial amount of money go uncollected. It is not an easy debt to manage,” Carrim said.
He stressed that repayment is crucial if the scheme is to continue supporting students from disadvantaged families.
“We understand that many of our previous beneficiaries are now working. We therefore urge those who benefited to repay their loans, so that more upcoming students can be funded,” he added.
South Africa’s high unemployment rate, however, complicates the issue. Many graduates argue they cannot pay what they do not have.

Khumalo Zakhele, an unemployed graduate from the University of Limpopo, said repayment is unrealistic for those still struggling to find work.
“We know that if we pay, the funds will help current students with accommodation and allowances. But we graduated years ago and remain unemployed. How are we expected to repay that money?” Zakhele asked.
NSFAS Chairperson Karen Stander noted that repayment obligations only apply to debtors earning above R30,000 per year. “Those who fall below this income threshold are not expected to pay until they reach that bracket,” she said. For now, NSFAS faces the uphill task of recovering billions from beneficiaries while balancing compassion for the country’s unemployed graduates.