Accommodation vendors urged to end demanding deposit from NSFAS funded students



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.

This arrives after NSFAS received stories about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment to be able to get use of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement involving the private accommodation companies and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease might be paid out every month on the accommodation provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.

"The lessor may not demand or allow the lessee to pay for a deposit, top-up payments, or another types of payment to the lessor, or every other person in connection with this arrangement, which includes payment of rent, although awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default inside the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for nsfas status check private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect selection by NSFAS, the student will not be chargeable for payment of any arrear rent on the accommodation company, up read more until finally the day of being defunded."

NSFAS stated that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student are going to be answerable for payment of rent into the lessor with the date 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 click here 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 read more regarding the interpretation or implementation of nsfas 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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