NSFAS Loan Forgiveness – The National Student Financial Aid Scheme (NSFAS) has just made a groundbreaking announcement that has left thousands of South African students in shock and relief. In a historic move aimed at easing student debt, over 67,000 students have been granted loan forgiveness under the NSFAS funding scheme. Effective August 2025, these students will now see a R0 balance on their loan accounts, creating a wave of financial freedom. This update is part of the government’s broader efforts to support access to higher education for all, particularly for financially vulnerable students. While the policy has sparked joy among beneficiaries, it has also raised questions for others: Who qualifies? How can I check if I’m on the list? Will more loan forgiveness waves follow? In this detailed guide, we break down everything you need to know about the latest NSFAS loan cancellation update.
What Is the 2025 NSFAS Loan Forgiveness Announcement?
This section outlines the scope of the loan forgiveness scheme and who it impacts.
- The NSFAS Board announced that 67,000 former and current students will benefit from full loan write-offs.
- The affected students were previously funded by NSFAS under the old loan system before 2018.
- This decision aligns with the August 2025 debt rehabilitation initiative aimed at promoting financial recovery for low-income households.
- Students qualifying for loan forgiveness will now see their loan balance reduced to R0 in the NSFAS portal.
- Beneficiaries include students who completed qualifications and passed income verification.
- NSFAS confirmed the clearance notices would be reflected starting August 15, 2025.
- Further waves of forgiveness may occur in the coming months.
Who Qualifies for the NSFAS Loan Write-Off in August 2025?
To understand if you are on the list, here are the eligibility rules laid out by NSFAS.
- Must have been funded by NSFAS before the 2018 bursary model took effect.
- Income threshold of household earnings below R350,000 per year.
- Students who have graduated and obtained their qualifications.
- Must have passed at least 50% of their modules during the funded period.
- Applicants who have not defaulted on their loan terms prior to 2020.
- Students whose financial and academic data has been successfully verified.
- Beneficiaries must have updated contact details on the NSFAS portal.
How to Check if You Are One of the 67,000 Students?
If you’re hoping to find your name on the list, NSFAS has enabled a few simple steps to verify your loan status.
- Visit the official NSFAS website: www.nsfas.org.za.
- Login to your MyNSFAS account using your ID and password.
- Click on the “Loan Statement” tab to view your outstanding balance.
- If your balance shows R0, you are officially forgiven.
- Check for a pop-up notification or email confirmation from NSFAS.
- For confirmation, contact the NSFAS support centre directly via phone or email.
Breakdown of NSFAS Forgiveness Across Universities and TVET Colleges
The following table outlines the number of students forgiven by institution type and province:
| Province | Universities Beneficiaries | TVET Beneficiaries | Total Students Forgiven |
|---|---|---|---|
| Gauteng | 9,200 | 3,400 | 12,600 |
| Western Cape | 8,000 | 2,200 | 10,200 |
| KwaZulu-Natal | 7,800 | 2,500 | 10,300 |
| Eastern Cape | 5,600 | 3,100 | 8,700 |
| Limpopo | 4,500 | 2,700 | 7,200 |
| Mpumalanga | 3,400 | 1,600 | 5,000 |
| Free State | 2,800 | 1,400 | 4,200 |
| Northern Cape | 1,400 | 900 | 2,300 |
| North West | 2,800 | 1,700 | 4,500 |
| TOTAL | 45,500 | 19,500 | 65,000+ |
Key Financial Benefits of NSFAS R0 Balance
Loan cancellation doesn’t just mean fewer bills – it also unlocks greater financial opportunities.
Here’s what this means for beneficiaries:
- No future monthly NSFAS loan repayments.
- Clean credit record due to debt clearance.
- Improved access to bank loans, credit cards, and housing finance.
- Reduced mental stress and financial burden post-graduation.
- Greater savings potential and ability to support family members.
Impact on Current Students and Future NSFAS Policies
While this update mainly applies to pre-2018 loan holders, current students also want to know what lies ahead.
Will the forgiveness trend continue?
- NSFAS says this is only the first phase of loan clearance.
- Future loan-to-bursary conversions for post-2018 students under consideration.
- Current students urged to maintain academic performance and updated profiles.
- Policy changes to be announced by October 2025 for 2026 academic year.
- Parliament’s Education Committee is reviewing broader NSFAS policy reforms.
What Should Current Students Do?
While awaiting possible future forgiveness, students can act now to prepare:
- Ensure your MyNSFAS account is accurate and verified.
- Avoid defaulting on your bursary-to-loan conversion terms.
- Contact your institution’s financial aid office for guidance.
- Stay updated with NSFAS official bulletins and newsletters.
How to Appeal or Inquire If You’re Not on the List
Didn’t see a R0 balance or want clarity? Here’s how to appeal or inquire officially.
Steps for appeal and support:
- Visit the NSFAS portal and go to the “Appeals” section.
- Submit a written explanation with supporting documents (e.g., proof of graduation, income).
- Email your request to: loanqueries@nsfas.org.za.
- Contact the NSFAS Toll-Free Line: 08000 67327
- Chat live via the NSFAS Facebook page or Twitter handle @myNSFAS.
- Follow up after 7 working days if no response is received.
Departmental Contact Details
| Department | Contact Info |
|---|---|
| NSFAS Head Office | 0860 067 327 |
| Department of Higher Education | 0800 872 222 |
| MyNSFAS Tech Support | +27 21 763 3232 |
| Student Appeals Division | appeals@nsfas.org.za |
| WhatsApp Helpline | +27 78 519 8006 |
| Facebook Support | @myNSFAS |
The NSFAS R0 balance announcement is a massive step toward debt-free education and is expected to create lasting impact across the country. Students are encouraged to take immediate steps to confirm their eligibility and secure their place in South Africa’s new financial aid future.
FAQs – Quick Answers to Common Questions
1. How do I know if my loan was cancelled by NSFAS in August 2025?
Log into your MyNSFAS account and check for an R0 balance or official notification.
2. Can I still apply for loan forgiveness if I wasn’t included in this phase?
Yes, future phases may include more students. You can also appeal your exclusion.
3. Will this forgiveness affect my ability to apply for government jobs or loans?
No, in fact, loan forgiveness may improve your credit score and financial credibility.
4. Is this loan cancellation only for university students?
No, TVET college students are also included if they meet the eligibility criteria.
5. Does NSFAS plan more loan write-offs in the future?
Yes, NSFAS has hinted at additional write-offs pending budget review in 2026.
