Accommodation providers urged to halt demanding deposit from NSFAS funded college 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 arrives just after NSFAS acquired stories about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment in order to get access to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement involving the personal accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent will likely be paid out monthly into the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not call for or permit the lessee to pay for a deposit, top-up payments, or another types of payment towards the lessor, or some other person in reference to this agreement, including payment of lease, though awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default from the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect selection by NSFAS, the coed will not be chargeable for payment of get more info any arrear rent on the accommodation provider, up till the day of being defunded."

NSFAS explained that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be chargeable for payment of rent to your get more info lessor from your day of currently being 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 more info 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 read more between the parties regarding the interpretation or implementation of the agreement, must be dealt with nsfas application delay in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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