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



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

This arrives just after NSFAS obtained reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment so as to get access to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease might be paid month to month to the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or almost every other kinds of payment towards the lessor, or some other person in connection with this agreement, including payment of lease, while awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default from website 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 on account of an incorrect determination by NSFAS, the student will not be responsible for payment of any arrear rent to the accommodation supplier, up until finally the date of being defunded."

NSFAS website discussed that wherever the NSFAS-funded student chooses to continue occupying the leased read more premises, notwithstanding getting defunded by NSFAS, the scholar are going to be liable for payment of rent on the lessor from the date 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 here 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 nsfas academic pathways 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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