Accommodation providers urged to halt demanding deposit from NSFAS funded students



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

This comes immediately after NSFAS acquired reports about some accommodation providers who require NSFAS-funded students to pay a deposit or top-up payment so that you can get usage of the accredited private accommodation.

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

The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid regular to your accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms 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 some other forms of payment to your lessor, or almost every other person in reference to this arrangement, together with payment get more info of hire, although awaiting payment from NSFAS. The lessor shall don't have any recourse in nsfas student allowances opposition to the lessee for any default within the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect determination by NSFAS, the coed will not be responsible for payment of any arrear rent to your accommodation supplier, up till the date read more of being defunded."

NSFAS explained that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar is going to be answerable for payment of rent into the lessor with the date of remaining defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian here 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 any dispute arising click here 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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