Accommodation companies 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 comes soon after NSFAS received stories about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get entry to the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies with the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation suppliers and NSFAS funded students," NSFAS stated in an announcement on Thursday.

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

"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or any other sorts of payment towards the lessor, or almost every other person in connection with this arrangement, such as payment of lease, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation suppliers’ 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 website be chargeable for payment of any arrear rent to the accommodation supplier, up until the date of being defunded."

NSFAS spelled out that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going to be accountable for payment of lease to your lessor within the date of becoming defunded.

"Where the student more info 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 website NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for nsfas student document submission deadline 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 get more info by NSFAS for this purpose.
From: SAnews.gov.za

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