This study examined the impact of family financial obligations on the psycho-social well-being of first-year students receiving funding from the National Student Financial Aid Scheme (NSFAS) at the University of Venda. Employing a qualitative, exploratory research design, data was collected through semi-structured interviews with purposively selected first-year NSFAS recipients. The primary aims were to assess how family financial responsibilities influenced students' psychological health, social interactions, and academic performance; to explore coping mechanisms employed by these students; and to propose strategies to support their well-being. Thematic analysis was used to systematically analyze the data, providing a comprehensive understanding of the challenges faced by first-year NSFAS-funded students and informing policy recommendations for enhancing student support services. The study revealed that family financial obligations significantly impacted the psychosocial well-being of NSFAS recipients, leading to increase stress, anxiety and feeling of overwhelm. Students employed various coping mechanisms, including seeking support from family and friends, engaging in stress reducing activities. The University should provide additional support services, including counselling and financial planning workshops, to help NSFAS recipients manage their financial obligations. NSFAS funding should be reviewed to ensure it adequate covers students' financial needs.