Accommodation suppliers urged to stop demanding deposit from NSFAS funded college students



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

This arrives soon after NSFAS gained reports about some accommodation suppliers who need 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 companies of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease might be paid month-to-month into the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or some other forms of payment on the lessor, or any other person in reference to this arrangement, like payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default during the payment of rent by NSFAS," the agreement 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 coed won't be answerable for payment of any arrear rent into the accommodation supplier, up right up until the day of being defunded."

NSFAS stated that check here the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going to be accountable nsfas allowances for payment of hire on the lessor through the day of becoming 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 check here 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 website be nsfas document submission deadline 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: SAnews.gov.za

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