Ntuthuko Maphumulo
The National Student Financial Aid Scheme (NSFAS) managed to collect only 10% of the R2,3-billion owed to it. But manager Craig Stewart is not worried about the unpaid R2,1-billion.
There are students in the scheme who have only recently graduated and begun finding employment, Stewart says. With the help of the South African Revenue Service the NSFAS will have access to state information systems, which will allow it to trace debtors more easily.
This year R600-million has been made available to tertiary institutions to assist students who have achieved good academic results but do not have money to continue their studies.
The scheme, which has been in place since 1991, was originally called the Tertiary Education Fund of South Africa, and 98% of students it aids are black.
The current rate of collection is R6-million a month. Stewart says the NSFAS is “most happy” with it.
However, the NSFAS Act of 1999 will enable the scheme to collect more money because it now has the power to write to employers demanding that repayments be deducted from debtors’ salaries and paid to the NSFAS. The letter carries the authority of a garnishee order.
The NSFAS will also have power to blacklist debtors at credit agencies.
Stewart says: “The reasons given by debtors as to why they should not be compelled to repay the loan are numerous. You choose one and a former student has given it. Obviously we are sympathetic to cases where an individual has a reasonable request.
“However, when the payment cannot be made because the Health and Racquet Club, Edgars and Markhams accounts must be paid, then we are less sympathetic.”
Students interviewed by the Mail & Guardian, who did not want their names published, gave a host of reasons why they could not repay their loans.
One says: “The reason I have not paid the NSFAS is because I just graduated from technikon and started working. My salary is low and I have to look after my family and siblings. I opened a clothing account and the NSFAS is the last thing on my mind, but if I earn a high salary then I will accommodate the NSFAS.”
Another says: “I just started working and I need to look after my family. I want to get my own property. We are not like the whites who have parents with education policies that have matured and who can pay their own fees. Some whites are given money by their parents to buy a car.”
n Pule waga Mabe reports that a faculty administrator of Technikon Northern Gauteng has been dismissed for defrauding students of their money by charging a fee to process study loans.
Esther Sethokga, who was employed in the commerce faculty, charged students up to R500 as a “registration fee” for NSFAS applications. The NSFAS application forms are available free of charge to students.
Sethokga was caught after the father of one of her victims contacted the technikon and questioned why the fee should be paid.
Ronnie Bhengu of the technikon’s financial aid bureau said controls have been tightened at the institution to ensure this was not repeated.
Attempts to contact Sethokga were unsuccessful. On Wednesday, a warrant was issued for her arrest after she failed to appear in court on charges of theft.