Name of the Organization : NSFAS National Student Financial Aid Scheme
Type of Facility : Student Loan Repayments Procedure
Location :Cape Town
Country : South Africa
Website : http://www.nsfas.org.za/
Related : NSFAS Application Procedure For Student Bursary South Africa : www.statusin.org/1647.html
Student Loan Repayments Procedure :
** By paying back your NSFAS study loan, you are paying it forward to someone else who needs it just as much as you did.
NSFAS makes it easy for students to repay their study loans, by only asking for payment when you get a job.
** Paying back your study loan is your duty and your responsibility to other students in need of student financial aid in South Africa.
How do I repay the student loan :
** NSFAS student loans are income-contingent. This means that repayment starts only when you have an income, usually when you start working. NSFAS will send you statements showing how much you owe and how much you must pay back each month.
** It is your legal responsibility to keep in touch with NSFAS and to inform us of any change of address.
How are repayments calculated :
** NSFAS has made repayments affordable for you. Repayments of your student loan are based on the salary that you earn, and start once your salary is R30 000 or more per year.
** Payments start at 3% of your annual salary, increasing to a maximum of 8% when your salary reaches R59 300 or more per year. For example, this means you will pay back R900 a year on a salary of R30 000 a year, or R84 per month.
** When your salary is R59 300 you will pay back R4 744 a year or R696 a month. NSFAS charges lower interest rates than banks. Interest is charged at 80% of the repo rate, which is the repurchase rate at which the Reserve Bank lends to commercial banks. NSFAS will continue to charge interest on all outstanding balances. It is therefore very important to start repaying your loan as soon as possible.
How will I repay the loan if I am unemployed or still studying :
** You do not have to repay if you are unemployed or still studying, but you do have to provide written proof (in the form of an affidavit, valid for 3 months) to say that you are unemployed.
** Please stay in contact with us and make sure that information such as your employment status and your personal details, including address and cellphone numbers, are up to date.
Does NSFAS pay registration costs for first-year and returning students :
Yes, but only for students where the Expected Family Contribution is 0 on the Means Test.