Accommodation vendors urged to end demanding deposit from NSFAS funded 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 comes just after NSFAS been given stories about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement involving the non-public accommodation companies and NSFAS funded students," NSFAS reported in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent will probably be paid out regular to the accommodation supplier (lessor) by NSFAS, on behalf on 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 require or permit the lessee to pay for a deposit, top-up payments, or another types of payment into the lessor, or every other person in connection with this arrangement, including payment of rent, although awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any default while nsfas academic pathways 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 defunded resulting from an incorrect decision by NSFAS, the coed won't be answerable for payment of any arrear rent to the accommodation supplier, up until finally the day of being defunded."

NSFAS defined that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be liable for payment of hire into the lessor in the day of currently being defunded.

"Where the student is defunded check here by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must website 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 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 website resolution procedure determined by NSFAS for here this purpose.
From: SAnews.gov.za

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