Accommodation vendors urged to end demanding deposit from NSFAS funded college 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 after NSFAS gained experiences about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get access to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement involving the private accommodation suppliers and NSFAS funded students," NSFAS stated in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease are going to be paid out regular monthly for the accommodation provider (lessor) by NSFAS, on behalf in 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 require or permit the lessee to pay for a deposit, top-up payments, or another sorts of payment into the lessor, or any other person in connection with this agreement, which includes payment of lease, though awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default during 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 as a consequence of an incorrect selection by NSFAS, the student will not be accountable for payment of any arrear rent for the accommodation company, up till the day of being defunded."

NSFAS described that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is click here going to be liable for payment of hire check here on the lessor from your date 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 without the prior approval of NSFAS, NSFAS may elect more info 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 more info dispute arising nsfas document submission deadline 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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