Accommodation vendors urged to stop demanding deposit from NSFAS funded university students



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

This comes just after NSFAS been given stories about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement amongst the private accommodation vendors and NSFAS funded students," NSFAS mentioned in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent are going to be paid every month on the accommodation supplier (lessor) by NSFAS, on behalf with 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 call for or allow the lessee to pay a deposit, top-up payments, or any other kinds of payment to your lessor, or another person in connection with this arrangement, including payment of lease, though awaiting payment from NSFAS. The lessor shall don't have any recourse from the lessee for any default during 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 read more is defunded resulting from an incorrect determination by NSFAS, the scholar won't be liable for payment of any arrear rent on the here accommodation company, up right until the day of being defunded."

NSFAS defined that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar is going to be chargeable for payment of hire into the lessor within the day of currently 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 website liable for payment of all rent due to the accommodation provider.

"Where the student here 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 click here 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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