Accommodation suppliers urged to stop demanding deposit from NSFAS funded students



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

This comes soon after NSFAS acquired reports about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment as a way to get access to the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement among the personal accommodation providers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease will likely be paid month to month into the accommodation supplier (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.

"The lessor may not involve or allow the lessee to pay for a deposit, top-up payments, or another sorts of payment for the lessor, or some other person in connection with this agreement, like nsfas tvet payment of rent, although awaiting payment from NSFAS. The lessor shall don't have any recourse from the lessee for any nsfas document submission deadline default from 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 because of an incorrect decision by NSFAS, the scholar won't be chargeable for payment of any arrear rent to your accommodation company, up right up until 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 are going to be responsible for payment of lease for the lessor within the day read more of staying 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 more info to the new accommodation provider, and any such rental payments will be for the student own here 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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