Accommodation vendors urged to halt demanding deposit from NSFAS funded university students



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.

This comes following NSFAS obtained reports about some accommodation providers who require NSFAS-funded students to pay a deposit or top-up payment to be able to get access to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers with the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation suppliers and NSFAS funded students," NSFAS reported in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent will likely be paid out monthly towards the accommodation provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal.

"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or every other sorts of payment for the lessor, or any other person in connection with this arrangement, like payment of rent, though awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default within the payment of rent by NSFAS," the nsfas 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 due to an incorrect choice by get more info NSFAS, the scholar won't be responsible for payment of any arrear rent into the accommodation provider, up until eventually the date of being defunded."

NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar are going to be answerable for payment of rent for the lessor through the day of nsfas student document submission deadline 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 here 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 get more info 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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