Accommodation providers urged to end demanding deposit from NSFAS funded university 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 right after NSFAS acquired reports about some accommodation providers who demand NSFAS-funded students to pay a deposit or top-up payment so as to get use of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement between the non-public accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent are going to be paid month-to-month to the accommodation company (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal.

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or some other sorts of payment towards the lessor, or some other person in reference to this agreement, like payment of rent, when awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default inside the payment of rent by more info 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 is defunded as a result of an incorrect determination by NSFAS, the student won't be responsible for payment of any arrear rent into the accommodation supplier, up until the day of being defunded."

NSFAS defined that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be answerable for payment of rent to your lessor through the day 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 more info 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 here will be for the student own account," the scheme said.

The here 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 allowances NSFAS for this purpose.
From: SAnews.gov.za

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