Accommodation suppliers urged to end demanding deposit from NSFAS funded university 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 comes following NSFAS acquired stories about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment as a way to get access to the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation providers and NSFAS funded students," NSFAS stated in a press release on Thursday.

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

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or almost every other kinds of payment to the lessor, or any other person in connection with this arrangement, including payment of lease, even though awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default from the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the coed will not be responsible for payment of any arrear rent to your accommodation nsfas eligibility criteria provider, up right until the date of nsfas eligibility criteria being defunded."

NSFAS spelled out that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student will be responsible for payment of rent nsfas tvet for the lessor through 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 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 website any dispute arising between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution check here procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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