No study money, do not despair
IF A student cannot afford to pay for his or her education, they can try the following options.
BE POSITIVE: There are several ways in which academically gifted but financially needy students can finance their further education. PHOTO: DANIEL BORN
RELIABLE FUNDING: Eduloan chief executive Totsie Memela-Khambule.
PHOTO: BONGANI MNGUNINSFAS has put in place measures to encourage students to work hard and pass their studies. If they do well they could have up to 40% of the loan amount converted into a non-repayable bursary
The National Student Financial Aid Scheme is a statutory body funded by the Department of Education. It provides study loans to academically able but financially needy students. The size of the initial loan ranges from R2000 to R30000.
The scheme funds students at higher education institutions and training colleges. Students who receive NSFAS loans only start paying it back when they get employed, earn from at least R30000 a year and the requisite repayments are pegged at between 3% and 8% of a beneficiary's salary.
NSFAS outreach officer Bonny Feldman said: "NSFAS has put in place measures to encourage students to work hard and pass their studies. If they do well they could have up to 40% of the loan amount converted into a non-repayable bursary."
Bursaries
Many companies offer bursaries to students and require them to "pay back" by working at the company after completion of study. The bursary register, available at universities' financial aid offices, provides full lists of bursaries available in the different fields of study.
Student loans
All major banks offer student loans. When applying for a bank loan you will have to show proof of registration at an educational institution. You'll also need a parent or guardian to sign for you.
Eduloan
Another reliable student funding source. The chief executive of Eduloan, Totsie Memela-Khambule, says with their loans, students do not have any debt when they finish studying.
"Instead of paying off the loan after completing and dealing with a lot of interest, we take the money monthly as a debit order.
"We have agreements with government and some companies to deduct the loan from the salaries of parents or guardians."
The loans are charged at interest rates of prime +1%. Permanent employees can apply for a study loan, as long as the instalments do not exceed more than 25% (based on a one-year loan) of their monthly gross salary and they must earn a minimum of R2000 after the Eduloan deduction and before any other deductions.
candilious
Tjo - ok fine give them the loan! What if their never find a jobto repay you back then what?Report Abuse
Spanasi
Candilious if the dont get employed, no one will take their qualifications and that is what is important. I studied with a loan because i did not have any other option and later struggled to get work but rejoiced in knowing that i am qualified.Report Abuse
Rragwe
this nsfas need to be restructured,they charge intereste on the loan while you are still studing,when you finish your qualification you are in huge debt,i think the interest must be charged once a preson start paying the loan and for those who have already been charged the interest,their debt must be reduced by 50%Report Abuse
candilious
@Spanasi- Fair enough Qualified with a Judgement against your name.Which would lead to you not getting a job everReport Abuse
PeloYaTonki
@RragweI agree with you. I don't understand why they should add ridiculous interest while you are still looking for a employment.
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KUKU
People don't understant - NSFAS is there to assist....it's not forced to do anything but to assist those who are financially needy to study further. People are now making it like it's a grand or they are entitled to those funds.And as we all know that NSFAS it's a financial business just like any...e.g...Banks, Finacial institutions, Investment etc.....what NSFAS do is they assist the needy and then the guardian/parent only pay a small interest while the student is furtehring their studies....The reason why the interest is paid at that time is to assist the learner not to pay a high interest in future...but only pay the actual loan when they start working.
What more do people want.....South African people are so greedy...you give them NSFAS to further their studies and they complain about the interest.....if you dont want to pay the interest then go to Mashonisa then.
You give them RDP houses and they complain that the houses are too small....while they were staying in Shacks.
You give them GVNMT Grand and they complain that the grand is too little to feed their kids but still making more babies.
Aagg maaannn....what do you want S.African????? You are never grateful!
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Spanasi
@ Editor - wa bora man!! How can the name of the blogger called KU... be obscene? But you have allowed her to use it. Nxxaa.Report Abuse
Mara_Y
People that complain about NSFAS r the same people benefitted from the fund n after been employed 4got about it.a lot r where they r now because of NSFAS n got the nerve 2 complain about the interest of the fund n says nothing about the credit card interest
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