Accommodation companies urged to halt demanding deposit from NSFAS funded students



The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.

This arrives just after NSFAS received stories about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment so that you can get access to the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of your compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the personal accommodation vendors and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid out month-to-month to your accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not demand or allow the lessee to pay for a deposit, top-up payments, or almost every other varieties of payment for the lessor, or every other person in connection with this agreement, including payment of hire, while awaiting payment from nsfas student document submission deadline NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default inside the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded nsfas application delay student is defunded due to an incorrect choice by NSFAS, the scholar will not be accountable for payment of any arrear rent to your accommodation supplier, up right up until the day of being defunded."

NSFAS spelled out that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar is going to be answerable for get more info payment of rent to the lessor within the day of currently being defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately vacate the leased property; and will be liable for payment of all rent due to the accommodation provider.

"Where the student moves, accommodation providers without the prior approval of NSFAS, NSFAS here may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for nsfas university allowances the student own account," the scheme said.

The scheme emphasised that any dispute arising between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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