Accommodation suppliers urged to stop demanding deposit from NSFAS funded students



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

This arrives after NSFAS obtained stories about some accommodation providers who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get use of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies from the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement involving the personal accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent is going to be paid out month-to-month to your accommodation company (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or every other sorts of payment for the lessor, or any other person in reference to get more info this arrangement, which include payment of rent, while awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default from the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation providers’ 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 responsible for payment of any arrear rent more info to the accommodation supplier, up right until the date of being defunded."

NSFAS discussed that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be answerable for payment of rent towards the lessor from your day of staying defunded.

"Where the student is check here 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 payments will be for the student own account," the scheme said.

The scheme emphasised that any dispute arising between the parties click here regarding the interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by click here NSFAS for this purpose.
From: SAnews.gov.za

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