Accommodation suppliers urged to stop demanding deposit from NSFAS funded university students



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

This comes soon after NSFAS received experiences about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get entry to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the non-public accommodation suppliers and NSFAS funded students," NSFAS said in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid regular on the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation suppliers’ 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 forms of payment to the lessor, or another person in reference to this arrangement, such as payment of lease, though awaiting payment from NSFAS. click here The lessor shall haven't any recourse towards the lessee for any default during the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation companies’ more info participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect decision by NSFAS, nsfas document submission deadline the scholar will not be liable for payment of any arrear rent into the accommodation company, up until eventually the date of being defunded."

NSFAS stated that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by click here NSFAS, the student are going to be accountable for payment of lease on 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 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 click here 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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