Elangeni College Nsfas
Elangeni College Nsfas is a public entity and is governed as such by the Elangeni College Nsfas Act and the Public Finance Management Act (PFMA) and regulated by the PFMA and Treasury Regulations. Chapter Six of the PFMA and Part 9 of the Treasury Regulations include: requirements regarding the responsibilities of accounting authorities of public entities, budgets, annual reports, internal controls, strategic planning, cash management, investment policy and audit committees.
Elangeni College Nsfas was established according to the National Student Financial Aid Scheme Act (Act 56 of 1999) and incorporated TEFSA (Tertiary Education Fund of South Africa). From 1993 to 2000, TEFSA was the primary non-profit company in terms of Section 21 of the Companies Act and ceased to operate in July 2000. All existing loans on the TEFSA books were transferred to Elangeni College Nsfas .
The Elangeni College Nsfas Act enables any student to apply for a loan or bursary from NSFAS, but allows the board to impose conditions, generally, or in respect of a particular loan or bursary. Such conditions include the use of the means test and the loan conversion of up to 40 percent of any loan as incentive for academic success.
It provides for payment by Elangeni College Nsfas of the amount of the loan or bursary “to the designated higher education institution”, rather than to the applicant. It also allows Elangeni College Nsfas to enter into what is in effect an agency agreement with higher education institutions (HEIs) or further education and training (FET) colleges, in terms of which they are authorized to:
- Administer loans and bursaries granted to students of the institution.
- Receive loan and bursary applications from students.
- Consider and assess the applications in light of the criteria for the granting of loans and bursaries determined by NSFAS.
- Grant loans and bursaries if the criteria are met after ascertaining that funds are available.
- Enter into a written agreement with a borrower or bursar in accordance with the provisions of the Act and on the terms and conditions determined by NSFAS.
The Act defines a loan as “a loan granted to a person by NSFAS in order to enable the person to defray the costs connected with his or her education at a designated higher education institution, and those connected with the board and lodging of that person for purposes of attending the institution”. The Act allows NSFAS to determine the parameters under which loans and bursaries are granted to students, ensuring that students are provided with sufficient funds to cover their costs of tuition and/or residence, and any further reasonable provisions.
The Act requires NSFAS to “recover loans” as one of its fundamental functions and provides instruments not typically available to public or private entities to enable it to do so. These include:
- Access the South African Revenue Service (SARS) database to trace borrowers and establish the employment status and income level of borrowers.
- An effective right by NSFAS to issue extra-judicial garnishee orders to the employers of borrowers to enforce deduction of repayment instalments.
- It requires borrowers, who are no longer studying to inform NSFAS periodically of their employment status, income level and residential addresses and other contact details.
- It creates penalties for debtors, who fail to adhere to these requirements.
To transform NSFAS into an efficient and effective provider of financial aid to students from poor and working class families in a sustainable manner that promotes access to, and success in, higher and further education and training, in pursuit of South Africa’s national and human resource development goals.
The mission statement is made up of three distinct elements which describe: why NSFAS exists, what we do, and the impact on our constituency.
1. NSFAS exists to provide financial aid to qualifying students at public TVET colleges and universities.
2. NSFAS identifies eligible students, provides loans and bursaries and collects student loan repayments to replenish the funds available for future generations of students.
3. NSFAS supports access to, and success in, higher education and training for students from poor and working class families who would otherwise not be able to afford to study.
OUR SERVICES – Elangeni College Nsfas
- Supply Chain
- Contact Centre
- Community Outreach
For all queries regarding students
Tel No.: 0860 067 327
08600 NSFAS: 0800 203 900