Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 arrives just after NSFAS obtained reports about some accommodation suppliers who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get use of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors of your compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement in between the non-public accommodation companies and NSFAS funded students," NSFAS reported in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent is going to be paid 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 personal accommodation vendors’ participation on the student accommodation portal.

"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or almost every other forms of payment to the lessor, or some other person in reference to this agreement, which includes payment of hire, although awaiting payment from NSFAS. The lessor shall click here don't have any recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation providers’ participation click here on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect determination by NSFAS, the scholar will not be accountable for payment of any arrear rent into the accommodation service provider, up until finally the date of being more info defunded."

NSFAS spelled out that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student are going to be accountable for payment of hire for the lessor with the date of click here staying 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 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 more info 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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