Accommodation suppliers urged to end 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 immediately after NSFAS received experiences about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment to be able to get access to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement between the non-public accommodation vendors and NSFAS funded students," NSFAS said in a press release on Thursday.

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

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or some other forms of payment to your lessor, or some other person in reference to this arrangement, such as payment of lease, though awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is get more info defunded on account of an incorrect choice by NSFAS, the scholar will not be chargeable for payment of any arrear rent to your accommodation supplier, up until finally the day of being defunded."

NSFAS explained that exactly where the more info NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar is going to be liable for payment of rent for the lessor within the day of currently being 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 nsfas status check approval of NSFAS, NSFAS may elect not to pay any rental nsfas to the new accommodation provider, and any such rental payments will be for the nsfas document submission deadline 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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