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



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

This arrives following NSFAS obtained experiences about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment so as to get use of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the non-public accommodation providers and NSFAS funded students," NSFAS stated in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent are going to be paid month-to-month into the accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal.

"The lessor may not need or permit the lessee to pay a deposit, top-up payments, or almost every other kinds of payment for the lessor, or almost every other person in reference to this arrangement, such as payment of rent, when awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default during the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private nsfas allowances accommodation suppliers’ participation on the student accommodation portal also states nsfas application delay that: "Where the NSFAS-funded student is defunded more info resulting from an incorrect determination by NSFAS, the coed will not be chargeable for payment of any arrear rent towards the accommodation supplier, up until finally the date of being defunded."

NSFAS explained that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the student is going to be responsible for payment of hire on the lessor in the day of getting 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 check here 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 website 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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