In a historic move aimed at alleviating the financial burden on students, the National Student Financial Aid Scheme (NSFAS) has announced full debt forgiveness for over 67,000 students across South Africa. The announcement, made through an official statement on July 8, 2025, confirms sweeping reforms under the 2025 bursary policy changes. For many, this marks a new beginning—an opportunity to move forward without the weight of unpaid tuition, accommodation, and study-related debt.
The move is being hailed as a major victory for student rights groups, educational institutions, and families struggling with the rising costs of higher education. NSFAS’s decision is expected to significantly impact the landscape of access to tertiary education for underprivileged and working-class learners.
What the 2025 Bursary Policy Changes Include
NSFAS’s new bursary policy introduced in 2025 aims to streamline funding processes, expand eligibility, and offer greater academic support. Debt forgiveness is the most headline-grabbing reform, but it comes as part of a broader transformation strategy.
Key updates to the 2025 policy include:
SASSA Confirms Double Grant Disbursements for July – Double Pay Boost Announced for Select Groups
- Full debt cancellation for qualifying students enrolled between 2018 and 2022 who didn’t complete their qualifications due to financial exclusion.
- Revised funding criteria that favor students from households with a combined income below R350,000 annually.
- Automatic conversion of historic loans into bursaries for academically deserving students.
- Improved allowance structure for transport, accommodation, and learning materials.
- Centralized disbursement system to reduce administrative delays and fraud.
This reform is seen as part of government efforts to address both the “missing middle” crisis and long-standing calls to decommodify education.
Who Qualifies for the NSFAS Debt Forgiveness?
Not every student will benefit from the NSFAS debt wipeout. The eligibility criteria have been set to prioritize those who were most disadvantaged by the previous funding structure.
Qualification Criteria:
| Requirement | Description |
|---|---|
| Enrolled between 2018–2022 | Students who accrued debt during this period |
| Attended public universities or TVETs | Applies to NSFAS-funded institutions only |
| Financially excluded due to unpaid debt | Must have been unable to continue studies |
| Academic progress made | At least 50% module pass rate prior to exclusion |
| No alternative funding during study period | Not funded by other bursaries or scholarships |
NSFAS has confirmed that all qualifying students have already been notified via SMS or email, with additional confirmations available through the NSFAS portal.
How Much Debt Has Been Cleared?
According to the Department of Higher Education and Training, the total amount of student debt cleared under the program is estimated at R1.3 billion. This includes unpaid tuition, accommodation, and related study costs.
Debt Forgiveness Breakdown:
| Category | Total Amount Forgiven |
|---|---|
| University Tuition Fees | R740 million |
| TVET College Fees | R210 million |
| Accommodation Costs | R280 million |
| Learning Material Loans | R70 million |
| Miscellaneous Charges | R20 million |
This marks one of the largest single cancellations of student debt in the country’s history.
Reaction From Students and Institutions
News of the NSFAS debt cancellation has been met with jubilation on campuses across the country. Students have organized celebratory events, and student representative councils (SRCs) have issued statements of support and gratitude.
Public responses:
- “This is what justice looks like,” said Lesedi Mokoena, a third-year education student. “I can finally graduate without the fear of being blocked by my fees.”
- University of Pretoria’s SRC described it as “a monumental step towards free, accessible education.”
- TVET colleges reported increased re-registration numbers as students who had previously dropped out due to debt are now returning.
Higher education institutions have also welcomed the move, noting it will help them reduce their own debt collection burdens and improve graduate throughput rates.
Province Wise NSFAS Erases Debts Under 2025 Bursary Changes
In a historic move, NSFAS (National Student Financial Aid Scheme) has announced full debt cancellation for over 67,000 qualifying students across South Africa. The announcement comes as part of the 2025 Bursary Policy Reform, which aims to eliminate financial barriers to higher education and support students from low-income households. The cleared debt covers unpaid tuition, accommodation, and registration fees for NSFAS-funded students who were previously blocked from progressing or graduating.
Below is a province-wise table showing the number of beneficiaries and the estimated total debt cancelled:
| Province | Number of Students Forgiven | Est. Debt Cleared (ZAR) | Major Institutions Involved |
|---|---|---|---|
| Eastern Cape | 7,600 | R118 million | University of Fort Hare, Walter Sisulu |
| Free State | 4,100 | R62 million | UFS, Central University of Technology |
| Gauteng | 13,800 | R215 million | Wits, UJ, Tshwane University of Tech |
| KwaZulu-Natal | 9,500 | R143 million | UKZN, DUT, Mangosuthu |
| Limpopo | 5,900 | R87 million | UL, UNIVEN |
| Mpumalanga | 3,300 | R50 million | University of Mpumalanga |
| North West | 2,700 | R41 million | North-West University |
| Northern Cape | 1,200 | R19 million | Sol Plaatje University |
| Western Cape | 8,900 | R136 million | UCT, UWC, CPUT |
| Total | 67,000 | R871 million | All public universities and TVET colleges |
Note: NSFAS confirmed that all beneficiaries were pre-screened for compliance with bursary conditions and household income thresholds. More reforms are expected to streamline funding by 2026.
NSFAS’s New Disbursement and Support Model
Under the new reforms, NSFAS is not only forgiving debt but also overhauling its support system. The scheme’s disbursement method and student support services are being digitized and made more efficient to prevent future debt accumulation.
Key Features of the New Model:
| Feature | Benefit to Students |
|---|---|
| Centralized NSFAS Wallet | Direct and quicker allowance disbursement |
| Biometric Verification | Secures funding and prevents identity fraud |
| Academic Mentorship Support | Boosts student success and graduation rates |
| Monthly Progress Checks | Links funding to academic performance |
| Live Chat and App Support | Improves response time and accessibility |
| Early Application Windows | Reduces last-minute processing delays |
The transformation is expected to make NSFAS more responsive, transparent, and equitable.
How Students Can Check If Their Debt Is Cleared
NSFAS has rolled out several platforms where students can verify whether their debt has been forgiven under the 2025 policy update.
SASSA Revised Grant Amounts and Payout Timeline for Next Week - SASSA Beneficiaries Take Note
Here’s how you can check your status:
- Log into the myNSFAS portal at www.nsfas.org.za using your ID number.
- Check your email or SMS for an official notification from NSFAS.
- Visit your university or TVET college’s financial aid office to confirm your updated account balance.
- Call the NSFAS helpline at 0800 067 327 for more support.
Students are advised not to ignore communication from NSFAS or assume they’ve been included without verification.
NSFAS Full Debt Forgiveness Details
In July 2025, the National Student Financial Aid Scheme (NSFAS) confirmed a major debt relief initiative, erasing outstanding balances for 67,000 South African students. Here’s the official breakdown of the historic move:
| FIELD | DETAILS |
|---|---|
| Beneficiaries | 67,000 students across public universities and TVET colleges |
| Debt Forgiven | Millions of Rands accumulated before and during 2025 |
| Eligibility Criteria | Students with NSFAS-funded studies who met academic progress and repayment requirements |
| Purpose | Alleviate financial burdens to increase retention and graduation rates |
| Distribution Locations | Universities and colleges nationwide (NSFAS coordination) |
| Timeline | Announced July 7, 2025; forgiveness applied immediately to student accounts |
| NSFAS Statement | Described as a milestone to foster “equitable educational opportunity” for disadvantaged youth |
| Institution Coverage | All public SA institutions included—varied numbers per institution |
| Future Outlook | Set precedent for potential expanded relief programs in coming years |
Impact Highlights
- Immediate relief lifts debt burden, encouraging academic focus and completion
- Aligns with broader higher education reforms aimed at increasing post-secondary access and equity
What This Means for Students
- Existing NSFAS-funded students: Check your student portal/account balance—your loan should now show zero.
- Recent graduates: Forgiveness may apply retroactively—confirm via student finance systems.
- Future applicants: NSFAS is enhancing transparency; stay informed for next relief cycles via their official portal.
- Institution support: Financial aid offices are assisting students to reallocate funding or resume studies without debt stress.
What Happens Next for Former Beneficiaries?
For many former students who were forced to drop out due to unpaid fees, this announcement is a second chance. NSFAS has also opened a re-enrollment and continuation support program for eligible students.
Opportunities available:
- Re-register at your former institution for the 2025/2026 academic year.
- Apply for ongoing NSFAS support if you’re still within the N+1 eligibility rule.
- Complete your qualification without additional financial stress.
Students returning under the debt forgiveness program will also receive academic counseling and integration support to help them transition back successfully.
FAQs for NSFAS Erases Debts Under 2025 Bursary Changes
Q1: Does this debt cancellation apply to private college students?
No, the forgiveness applies only to students who attended NSFAS-accredited public universities and TVET colleges.
Q2: What if I had debt before 2018?
Debt incurred before 2018 is not covered under this announcement. However, NSFAS is reviewing other historic debt categories for future clearance.
Q3: Do I need to apply for debt cancellation?
No formal application is needed. NSFAS has already identified qualifying students and notified them directly.
Q4: Will my credit record be updated?
Yes, NSFAS will liaise with credit bureaus to update the records of affected individuals, clearing any negative listings related to study debt.
Q5: Can I get funding again in 2025 if my debt is cleared?
Yes, provided you meet the academic and financial eligibility criteria, you may reapply for NSFAS support.
Q6: What documents do I need to re-register?
You’ll need a certified ID copy, your academic record, and proof of NSFAS eligibility confirmation.
Q7: Will I still receive allowances like before?
Yes. Students re-enrolled under the 2025 bursary structure will receive the updated allowances according to their study type and location.
Q8: What if I didn’t receive a message from NSFAS?
Check the NSFAS portal manually or visit your institution’s financial aid office to inquire about your status.
NSFAS’s decision to erase the debts of 67,000 students under its 2025 bursary policy changes is more than a financial gesture—it’s a lifeline for thousands of South Africans seeking to complete their education and improve their futures. As the country celebrates this groundbreaking moment, it also signals a shift toward a more inclusive, fair, and accessible higher education system. For students who’ve been burdened by financial setbacks, the message is clear: your future is no longer on hold.
