Question NW403 to the Minister of Higher Education, Science and Innovation
07 March 2024 - NW403
Shikwambana, Mr M to ask the Minister of Higher Education, Science and Innovation
(a) On what date will the contracts of the four direct payment service providers for the National Student Financial Aid Scheme (NSFAS) be terminated, as recommended by the Werkmans Attorneys in October 2023 and (b) what total amount in Rand of NSFAS funds are still held by the direct payment service providers?
Reply:
a) The NSFAS Board is currently undergoing legal processes related to the cancellation of these contracts. Contracts will be cancelled upon completion of this process.
b) In terms of the agreed upon process, the partners do not hold on to NSFAS funds in the partners bank accounts; funds are paid into students individual NSFAS bank accounts and these funds are immediately available to students upon them completing the know your client (KYC) bank processes.