The National Student Financial Aid Scheme (NSFAS) says it has been working on innovations to improve the payment of students’ allowances to remove all third parties from the payment chain.
For the 2021 academic year, NSFAS will pay allowances directly into the bank accounts of all students.
“The direct payment system is convenient and allows a student to be in charge and have access to their allowance 24/7 with no limitation or additional administrative processes,” NSFAS said.
In 2019, NSFAS replaced the anti-competitive voucher system with cash allowances to allow students to manage their own finances.
“By disbursing directly to student’s bank accounts, NSFAS will eradicate fraudulent activities and scams which students have been subjected to. Recipients of NSFAS payments will have the added security offered by administered accounts.
NSFAS urges students who would like to enrol at a public TVET college in 2021 to open accounts in preparation for the roll out of allowances through bank accounts.
As the banking project is currently out for tender, students on NSFAS Wallet will as an interim measure be moved from the *134*176# USSD channel to *120*176# USSD channel with effect from 01 July 2020. A transaction on the *120*176# USSD channel will cost approximately 20 cents per 20 seconds.
Through this platform, a student will have access to their NSFAS Wallet account, make withdrawals, and view transactions. There will be a smooth transition to ensure that there is no disruption in the system.
The next phase of the direct payment system through bank accounts will be rolled out to students at universities to create uniformity and further efficiencies. SAnews.gov.za