Accommodation vendors urged to end 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 right after NSFAS been given reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement amongst the personal accommodation suppliers and NSFAS funded students," NSFAS reported in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states which the lease will probably be paid out every month into the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or every other varieties of payment into the lessor, or some other person in reference to this arrangement, like payment of hire, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default during the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect choice by NSFAS, the scholar won't here be responsible for payment of any arrear rent into the accommodation supplier, up right up until the day of being defunded."

NSFAS described that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going to be answerable here for payment of rent to your lessor in the date of currently being defunded.

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

"Where the student more info moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for 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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