Securing enough funding for your tertiary studies can be a major challenge, especially if your existing loan doesn’t fully cover tuition, accommodation, books, and living costs. If you’re relying on the National Student Financial Aid Scheme (NSFAS) or loans from other lenders, it’s important to understand how to increase your loan amount legally and effectively.
How to Increase Your Student Loan Amount: A Guide for NSFAS and Other Lenders
Here’s a step-by-step guide on how to do that.
1. Understand Your Current Loan and Its Limits
Before requesting an increase, carefully review your existing loan agreement. Each lender, including NSFAS, has specific limits on what they cover and how much funding they provide per academic year. NSFAS, for example, offers comprehensive bursary packages to eligible students that cover tuition, accommodation, meals, and learning materials—but only up to set amounts, based on institutional costs and guidelines.
If you’re using a private lender or a bank loan, find out:
- The total approved amount
- Interest rates and repayment terms
- Whether the loan is a once-off or renewable annually
- Conditions for increasing or renewing the loan
2. Gather Documentation for Reassessment
To apply for a loan increase, you’ll need to show that your financial needs have changed or were underestimated in the original application. The following documents are usually required:
- Updated academic registration documents showing your current course load
- A revised student budget reflecting increased expenses (e.g., rent, transport, food, study materials)
- Proof of unexpected financial changes (e.g., family income loss, increased fees, medical emergencies)
- Academic transcripts to show satisfactory performance, especially for merit-based loan increases
3. Approach NSFAS: Can You Increase Funding?
NSFAS is not a traditional loan—it operates as a bursary scheme for most qualifying students. If you already qualify and are funded, NSFAS typically pays a set amount based on your institution and accommodation type. However, here’s what you can do if the funding seems insufficient:
- Contact the Financial Aid Office: Reach out to your university or college’s Financial Aid Office. They can assess whether there was an error in calculating your allowances or if you qualify for additional support.
- Appeal Through NSFAS: If your circumstances have changed—such as a family income drop—you can submit an appeal on the NSFAS website. Be sure to provide all required supporting documentation, including a motivation letter.
- Apply for Institutional Assistance: Some universities offer top-up bursaries or hardship funding. Ask your institution whether they can assist where NSFAS falls short.
Read more: Smart Strategies for Managing Your Student Loan After Graduation
4. Requesting an Increase from Private Lenders or Banks
If you are using a private student loan (e.g., from a bank like Standard Bank, ABSA, or FNB), you can usually apply for a loan increase annually or per semester. Here’s how:
- Visit a Branch or Online Portal: Most banks allow you to apply online or in person. Choose the option that’s fastest for your needs.
- Provide a Revised Cost Estimate: Get a stamped fee statement from your institution showing the full year’s costs, including tuition, residence, and other student-related fees.
- Show Financial Responsibility: Lenders are more likely to approve increases if you’ve kept up with interest payments (if required) and demonstrated academic progress.
5. Maintain Good Academic Standing
Whether you’re funded by NSFAS or a private loan provider, one of the key factors in getting continued or increased support is academic performance. Ensure you:
- Pass at least 50% to 75% of your modules (depending on the funder’s policy)
- Avoid academic exclusion or suspension
- Submit academic transcripts or proof of progress if requested
6. Consider Additional Sources of Funding
If an increase is not possible, look into alternative funding options:
- Merit or need-based bursaries
- Work-study programmes or part-time jobs
- Crowdfunding platforms or sponsorships
- Employer bursaries, especially for government or public service students
Final Tips
- Start the process early—preferably before the academic year begins.
- Keep records of all communications with funders and institutions.
- Be honest and transparent in your application and supporting documents.
Increasing your student loan amount is possible with the right documentation, communication, and academic progress. Whether through NSFAS or a private lender, showing genuine need and responsibility is key.
