Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 soon after NSFAS acquired experiences about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment in order to get entry to the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers from the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the personal accommodation companies and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease are going to be paid out every month into the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or another sorts of payment on the lessor, or every other person in reference to this agreement, such as payment of lease, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is website defunded because nsfas login of an incorrect selection by NSFAS, the student will not be answerable for payment of any arrear rent for the accommodation service provider, up right up until the day of being defunded."

NSFAS stated that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be chargeable for payment of hire to click here the lessor in the date 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 read more 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 nsfas document submission deadline 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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