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 comes soon after NSFAS acquired reports about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment so as to get entry to the approved private accommodation.

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

The Standardised Fixed-Term Lease Agreement states which the lease is going to be paid out every month for the accommodation supplier (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.

"The lessor may not require or allow the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment for the lessor, or some other person in connection with this agreement, such as payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default inside the payment of rent by NSFAS," the agreement click here reads.

The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation nsfas allowances portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect choice by NSFAS, the student won't be chargeable for payment of any arrear rent towards the accommodation provider, up until the date of being defunded."

NSFAS explained that wherever the NSFAS-funded student click here chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student are going to be accountable for payment of lease towards the lessor within the date 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 liable for payment of all rent due to the accommodation provider.

"Where the student moves, accommodation providers without the check here 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 here 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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