Accommodation providers urged to halt demanding deposit from NSFAS funded students



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

This arrives immediately after NSFAS acquired experiences about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment to be able to get usage of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement between the non-public accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.

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

"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or every other types of payment for the lessor, or every other person in connection with this arrangement, together with payment of hire, while awaiting payment from NSFAS. The lessor shall have no recourse versus the lessee for any default during the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is get more info defunded because of an incorrect decision by NSFAS, the coed won't be chargeable for payment of any arrear rent into the accommodation supplier, up right up until the day nsfas application delay of being defunded."

NSFAS explained that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will be responsible for payment of lease towards the lessor from the date of being defunded.

"Where the student is defunded by NSFAS due to click here 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 may elect not to here 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 website 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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