Accommodation providers urged to halt demanding deposit from NSFAS funded 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 soon after NSFAS obtained stories about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get usage of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation suppliers and NSFAS funded students," NSFAS reported in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent are going to be paid out month-to-month on the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using 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 a deposit, top-up payments, or any other forms of payment into the lessor, or any other person in reference to this agreement, which include payment of rent, though awaiting payment nsfas login 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 accommodation companies’ participation on the student nsfas university allowances accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the scholar won't be responsible for payment of any arrear rent on the read more accommodation service provider, up till the date of being defunded."

NSFAS discussed that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of rent into the lessor through the day of remaining defunded.

"Where the student is defunded by NSFAS due to a more info misrepresentation by the lessee/guardian at any stage, the student must immediately vacate the leased property; and will be nsfas document submission deadline 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 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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