Accommodation providers urged to halt demanding deposit from NSFAS funded 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 right after NSFAS received experiences about some accommodation providers who demand NSFAS-funded students to pay a deposit or top-up payment as a way to get entry to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors of your compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement between the private accommodation providers and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid out regular monthly on the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.

"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or another varieties of payment to the lessor, or any other person in reference to this arrangement, which includes payment of rent, although awaiting payment from NSFAS. The lessor shall don't have any recourse from website the lessee for any default in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation on check here the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect determination by NSFAS, the scholar won't be chargeable for payment of any check here arrear rent to your accommodation supplier, up until eventually the date of being defunded."

NSFAS discussed that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding website staying defunded by NSFAS, the student are going to be responsible for payment of rent to your lessor from your 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 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 get more info 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 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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