Accommodation providers urged to stop demanding deposit from NSFAS funded students



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

This comes soon after NSFAS been given reports about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the accredited private accommodation.

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

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

"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or some other varieties of payment towards the lessor, or another person in reference to this agreement, which include payment of lease, when awaiting payment from NSFAS. click here The lessor shall have no recourse nsfas academic pathways towards the lessee for any default while in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded more info on account of an incorrect determination by NSFAS, the coed won't be liable for payment of any arrear rent for the accommodation supplier, up right up until the date of being read more defunded."

NSFAS described that exactly where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student are going to be liable for payment of lease for the lessor from your read more day of remaining 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 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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