The National Student Financial Aid Scheme (Nsfas) says it has released private accommodation payments for universities, with more than R1.1 billion paid out during the current quarter to support over 100 000 students.
Nsfas confirmed on Monday that payments to private accommodation providers were released on Thursday, 7 May 2026.
The scheme said accommodation providers banking with First National Bank (FNB) would receive funds immediately, while providers using other banks could experience “minor processing delays” due to interbank processing timelines.
More than 100 000 students benefit
Nsfas said the latest disbursements formed part of three major accommodation payment releases made during the quarter.
“During this quarter alone, Nsfas has made three major disbursements to accommodation providers, amounting to over R1.1 billion and benefitting more than 100 000 students,” the scheme said.
The financial aid body added that 95% of accommodation providers listed on its solution partner portals had successfully verified their banking details and were now included in direct payments for 2026.
“For the remaining providers, Nsfas is conducting one-on-one engagements to ensure full integration into the direct payment system,” it said.
Monthly payment schedules planned
Nsfas said it would introduce a monthly disbursement schedule for all accredited accommodation providers to improve predictability in payments.
The scheme urged providers to ensure students’ funding status had been confirmed and that valid lease agreements were signed before payments could be processed.
“We strongly encourage all providers to ensure that students’ funding status is confirmed and that valid, signed lease agreements are in place, as these are prerequisites for payment,” Nsfas said.
In-house payment system
Nsfas said it was legally required to bring accommodation payment functions in-house at the start of 2026.
According to the scheme, the move helped resolve several longstanding issues affecting payment cycles, including delays by institutions in confirming students, the misclassification of some students as transport allowance recipients, and uncertainty around accommodation accreditation.
Nsfas acknowledged the operational challenges facing accommodation providers, including rising utility costs and municipal service pressures.
“As a result, the Scheme remains committed to working collaboratively with sector associations and solution partners to resolve these outstanding issues by finalising the 2026 rental rates, and implementation of a predictable, transparent payment system,” it said.
The scheme said it remained committed to resolving payment disputes on a case-by-case basis and encouraged accommodation providers experiencing difficulties to contact Nsfas directly for assistance.
“Nsfas is focused on long-term stability, effective administration, and the wellbeing of Nsfas funded students,” it added.
