Accommodation suppliers urged to stop demanding deposit from NSFAS funded students



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

This comes immediately after NSFAS obtained experiences about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement amongst the private accommodation companies and NSFAS funded students," NSFAS explained in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent will be paid out regular monthly on the accommodation company (lessor) by NSFAS, on behalf with 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 allow the lessee to pay a deposit, top-up payments, or almost every other varieties of payment to your lessor, or some other person in connection with this agreement, which include payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default inside the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student read more is defunded as a consequence of an incorrect determination by NSFAS, the student won't be click here chargeable for payment of any arrear rent on the accommodation provider, up till the date of being defunded."

NSFAS described that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the check here student are going to be answerable for payment of rent into 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 approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental nsfas status check 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 click here any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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