Accommodation providers urged to stop demanding deposit from NSFAS funded college 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 arrives right after NSFAS received stories about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment so that you can get access to the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement among the private accommodation vendors and NSFAS funded students," NSFAS stated in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid out regular monthly on the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or every other types of payment to the lessor, or almost every other person in connection with this agreement, including payment of rent, even though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for more info private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the scholar won't be responsible for nsfas student document submission deadline payment of any arrear rent to your accommodation provider, up right up until the date of being defunded."

NSFAS discussed that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar are going to be accountable for payment of rent on the lessor through the date of getting defunded.

"Where the student is nsfas allowances 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 get more info elect not to pay any rental to website 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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