Accommodation companies urged to end demanding deposit from NSFAS funded university 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 soon after NSFAS been given reports about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment to be able to get access to the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement involving the private accommodation suppliers and NSFAS funded students," NSFAS said in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent might be paid monthly on the accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.

"The lessor may not call for or permit the lessee to pay a deposit, top-up payments, or every other types of payment on the lessor, or almost every other person in connection with this arrangement, which includes payment of here lease, when awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect choice by NSFAS, the coed will not be accountable for nsfas tvet payment of any arrear rent for the accommodation provider, up right up until the date of being defunded."

NSFAS spelled out that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student are going to be accountable for payment of hire for the lessor within the day of remaining 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 more info without the prior approval of NSFAS, NSFAS nsfas application delay may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for the get more info 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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