Accommodation providers 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 after NSFAS obtained reports about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement among the non-public accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent might be paid out month-to-month towards the accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.

"The lessor may not call for or allow the lessee to pay a deposit, top-up payments, or almost every other types of payment on the lessor, or every other person in connection with this arrangement, such as payment of nsfas student document submission deadline hire, when awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default here while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of nsfas login an incorrect determination by NSFAS, the coed won't be accountable for payment of any arrear rent for the accommodation supplier, up till the day 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 liable for payment of lease to your lessor with the date 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 here rent due to the accommodation provider.

"Where the student 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 read more 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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