Accommodation suppliers urged to end demanding deposit from NSFAS funded students



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

This comes soon after NSFAS acquired reports about some accommodation vendors who require NSFAS-funded students to pay for a deposit or top-up payment in order to get entry to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement amongst the non-public accommodation companies and NSFAS funded students," NSFAS said in an announcement on Thursday.

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

"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or any other types of payment for the lessor, or some other person in connection with this website agreement, like payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default inside the payment of check here rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation nsfas academic pathways on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the scholar will not be accountable for payment of any arrear rent to the accommodation service provider, up right until the date of being defunded."

NSFAS spelled out that exactly where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar are going to be responsible for payment of hire on the lessor from the date of being 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 nsfas tvet 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: read more SAnews.gov.za

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