Accommodation companies urged to end 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 comes soon after NSFAS gained experiences about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the obligatory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the non-public accommodation providers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease will probably be paid out regular on 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 companies’ participation on the student accommodation portal.

"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or some other varieties of payment to the lessor, or any other person in connection with this arrangement, which include payment of hire, while awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any here default inside the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student check here accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the coed won't be liable for payment of any arrear rent to more info your accommodation supplier, up till the date of being defunded."

NSFAS explained that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar will be answerable for payment of lease into the lessor within 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 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," nsfas allowances the scheme said.

The scheme emphasised that any dispute arising between the parties regarding nsfas eligibility criteria 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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