Accommodation providers urged to stop 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 soon after NSFAS received experiences about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement among the private accommodation vendors and NSFAS funded students," NSFAS reported in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent will likely be paid out regular on the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or almost every other types of payment into the lessor, or almost every other person in connection with this arrangement, like payment of rent, even though awaiting payment from NSFAS. The lessor shall have no recourse in click here opposition to the lessee for any default in 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 because of an incorrect selection by NSFAS, the scholar will not be responsible for payment of any arrear rent into the accommodation provider, up until eventually the day of being defunded."

NSFAS defined that wherever the NSFAS-funded student chooses read more to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be responsible for payment of lease to your lessor within the day of 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 read more all 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 own account," the scheme said.

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

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