Accommodation suppliers urged to end demanding deposit from NSFAS funded university students



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

This arrives just after NSFAS gained experiences about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get entry to the permitted private accommodation.

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

The Standardised Fixed-Term Lease Agreement states the rent are going to be paid monthly towards the accommodation company (lessor) by NSFAS, on behalf on 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 demand or allow the lessee to pay a deposit, top-up payments, or any other sorts of payment for the lessor, or another person in connection with this arrangement, which includes payment of hire, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee click here for any default from 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 due to an incorrect choice by NSFAS, the coed won't be liable for payment of any arrear rent for the accommodation company, up till the date of being defunded."

NSFAS defined that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student is going to be chargeable for payment of hire for the lessor within the day of getting defunded.

"Where the student is defunded by NSFAS due to nsfas university allowances 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 nsfas eligibility criteria accommodation provider.

"Where the student moves, accommodation providers without the prior read more 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 nsfas student allowances by NSFAS for this purpose.
From: SAnews.gov.za

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