Accommodation suppliers urged to stop demanding deposit from NSFAS funded university 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 just after NSFAS been given experiences about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get use of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement between the personal accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.

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

"The lessor may not require or permit the lessee to pay a deposit, top-up payments, or some other varieties of payment for the lessor, or another person in connection with this agreement, such as payment of rent, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default from 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 due to an incorrect choice by NSFAS, the student won't be accountable nsfas allowances for payment of any arrear rent on the accommodation company, up until eventually the date of being defunded."

NSFAS described that where the NSFAS-funded student here chooses to carry on get more info occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going to be answerable for payment of hire for the lessor from the date of becoming 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 click here liable for payment of all rent here 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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