STUDENT LOANS IN SOUTH AFRICA

2015-05-27

A variety of institutions offer student loans for accredited study programmes. The following are some of the financial resources available.

Eduloan
Eduloan is a leading education finance specialist operating in southern Africa. Since its inception in 1996, over 760 000 study loans to the value of more than R4.3 billion have been awarded. The Eduloan vision is to be the catalyst for changing lives through education, by enabling access to financial solutions. In order to bring this vision to life, affordable finance management solutions, solely focused on education is offered. (www.eduloan.co.za).

The National Student Financial Aid Scheme
The National Student Financial Aid Scheme (NSFAS) is the South African government student loan and bursary scheme. NSFAS provides loans and bursaries to students at all 25 public universities and 50 public TVET colleges throughout the country. A student loan is the money you borrow from NSFAS to cover the costs of your studies at any of the 25 public universities in South Africa. The costs include tuition fees, residence or private accommodation costs, food, books and travel. This loan must be repaid to NSFAS when you have finished studying. Depending on your results, up to 40% of your NSFAS study loan may be converted into a bursary and you do not need to repay that amount.

A NSFAS bursary is the money you receive to cover the costs of your studies for certain qualifications at any public university or college in South Africa. This money does not have to be repaid to NSFAS. NSFAS administers various bursary funds, including:

The Funza Lushaka Bursary Programme to train teachers The National youth Development Agency
Education Enablers Fund the Education Enablers Fund established in October 2014 has been initiated to provide basic necessities to learners from poor households in rural areas, who are in need of basic day-to-day necessities required to attend school such as school uniforms, shoes, writing material and school bags.The fund will identify and help young scholars, of rural based schools, who are in need of the basic day to day necessities required to attend school. (www.nyda.gov.za).

First National Bank
The FNB Student products are designed especially for students, so you can concentrate on your studies while we help you manage the finances. This portfolio consists of two products, namely: Life start student Loan
The Life Start Student Loan allows you to invest in you or your child's future with a tertiary education. This loan is suitable for financing further education for South African students and covers tuition fees, books and campus accommodation. (https:// www.fnb.co.za/students/index. Html).

Nedbank
Your Nedbank Student Loan will cover costs for:

Standard Bank
If you are a full-time student, you will also get the Standard Bank transaction account that best suits your needs when your Student Loan is approved. You can use the money from your Student Loan to pay for your tuition fees and accommodation (if you are a full-time student not living at home). Tuition and accommodation will be paid directly to the institution and place of residence whilst funds for books will be transferred to the transactional account. We recommend that you take out a Personal Loan Protection Plan to pay the outstanding balance on your loan in the event of death, dread disease or disability. Student Loans are granted for a specific year of study and you will have to reapply for each year of registration. There is a maximum amount granted for each year of study. The course and institution that you choose for your studies must be accredited by at least one of the following bodies: SAQA; SETA; Umalusi; or Department of Higher Education (DHE). (http:// www.standardbank.co.za)

ABSA
SETA and SAQA studies are covered, from 3 months duration onwards. Thereafter, customers repay the capital for example a three year course is paid back over three years, and so forth;