7,000 students risk eviction as R44 million dispute between financial aid scheme and landlords escalates
The South African Union of Students (SAUS) has issued a stark warning to the National Student Financial Aid Scheme (NSFAS), demanding urgent resolution of a R44 million payment dispute with private student accommodation providers. Failure to act, the union says, could trigger nationwide student protests.
The standoff involves accommodation providers linked to the Private Student Housing Association, who claim NSFAS has failed to settle bills for housing 7,000 students during the 2024 academic year. NSFAS, however, maintains that the providers have not submitted sufficient evidence to justify the payments. In a tense SABC interview, SAUS Secretary General Lukhanyo Dawethu accused NSFAS of neglecting student welfare. “If this matter drags on, we’ll have no option but to use the only language students know – mass action. We’ll take to the streets until every student has a roof over their head,” Dawethu declared.
The threat of protests comes as NSFAS processes over 900,000 applications for the 2025 academic year, with many already provisionally approved. Remaining applications are under review, though the scheme has not clarified timelines for finalising these.
Private accommodation providers argue that delayed payments jeopardise their ability to house students, many of whom rely solely on NSFAS funding. “We’ve kept our doors open in good faith, but we can’t operate without payments,” said a landlord who asked to remain anonymous. NSFAS has urged providers to submit “complete, verifiable documentation” to resolve the impasse.
With tensions rising, students fear becoming collateral damage in the bureaucratic clash. “If NSFAS and landlords don’t sort this out, we’ll be sleeping in libraries or worse,” said University of Johannesburg student Thandi Mokoena.
NSFAS has yet to confirm when payments will be processed or whether mediation talks are underway.
