Accommodation providers urged to stop demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS acquired experiences about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment in order to get use of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement among the non-public accommodation companies and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid regular monthly for the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or some other sorts of payment into the lessor, or another person in reference to this arrangement, together with payment of hire, while awaiting payment from NSFAS. The lessor shall have nsfas tvet no recourse against the lessee for any default within the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the more info student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the scholar won't be chargeable for payment of any arrear rent to your accommodation company, up until eventually the day of being defunded."
NSFAS discussed that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be answerable for payment read more of lease to the lessor with 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, here NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental payments will be for get more info 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