Accommodation suppliers urged to halt demanding deposit from NSFAS funded college 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 arrives following NSFAS obtained experiences about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get access to the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the non-public accommodation companies and NSFAS funded students," NSFAS explained in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent will be paid out regular monthly into the accommodation provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal 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 almost every other varieties of payment to the lessor, or every other person in connection with this arrangement, which includes payment of lease, while awaiting payment from NSFAS. The lessor shall have no recourse versus the lessee for any default inside the payment of rent by NSFAS," the arrangement 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 choice by NSFAS, the student won't be chargeable for payment of any arrear rent to your accommodation service provider, up till the day of being defunded."

NSFAS discussed that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going website to be accountable for payment of rent for the lessor through the date 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 click here 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 nsfas document submission deadline 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 nsfas status check 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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