NSFAS: Students refusing to repay loans face possible blacklisting

The scheme will now be administering R14.5 billion for beneficiaries this academic year.

NSFAS Chairperson Sizwe Nxesana briefs media about additional student funding that's been made available for 2016 academic year. Picture: Vumani Mkhize/EWN.

JOHANNESBURG - National Student Financial Aid Scheme (NSFAS) chairperson Sizwe Nxasana says beneficiaries of the scheme who refuse to repay their loans could face possible blacklisting.

The scheme will now be administering R14.5 billion for beneficiaries this academic year, which excludes the so called ' missing middle'.

Instead the new funding model, which be piloted next year, will have a relative means test to determine a family's disposable income.

NSFAS says those who are beneficiaries and refuse to repay their loans will face normal debt repayment processes.

Nxasana says, "People who are unwilling to pay and are already earning an income, we're simply going to be following the normal debt recovery process for those people in a way that is a lot more robust."

He says the scheme has established relationships with employers who will be made aware of which employees are NSFAS beneficiaries.

Nxasana also says there's been a high rate of poor students who struggle to find jobs when they complete their qualifications, which he says, the new means test will aim to address.

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