pretty sure nothing happens, my whole cohort got an n-warning and a few people dropped the course a couple of months later, with no issue, ig just check with your advisor or deputy
After you receive the eligibility, you also to meet the reduced atar requirements for your course, depending on your course this can be 10, 5, or even one. Some degrees have certain assumed knowledge prereqs so there's also that as well
Yea that's one of the requirements having uysd as first preference to determine eligibility and also..from the website: living at an address listed in the bottom 25 percent of the Socio-Economic Index for Areas (SEIFA) Index of Education and Occupation (IEO), based on the residential address you...