Accommodation suppliers urged to halt demanding deposit from NSFAS funded students



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

This comes right after NSFAS been given reports about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment so as to get usage of the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the private accommodation companies and NSFAS funded students," NSFAS explained in a statement on Thursday.

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

"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or any other varieties of payment on the lessor, or any other person in reference to this agreement, which include payment of rent, when awaiting nsfas student document submission deadline payment from NSFAS. The lessor shall have no recourse from the lessee for any default within website 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 as a result of an incorrect choice nsfas login by NSFAS, the scholar won't be chargeable for payment of any arrear rent to the accommodation supplier, up right until the day of being defunded."

NSFAS described that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar are going to be answerable for payment of hire into the lessor from the day of getting 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 get more info moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not to pay any here 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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