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



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.

This arrives after NSFAS gained reports about some accommodation providers who need NSFAS-funded students to pay a deposit or top-up payment in an effort to get access to the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement among the private accommodation vendors and NSFAS funded students," NSFAS stated in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent is going to be paid monthly into the accommodation service provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or every other sorts of payment on the lessor, or every other person in reference to this agreement, together with payment of lease, though awaiting nsfas status check payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect determination by NSFAS, the student will not be liable for payment of any arrear rent to the accommodation provider, up until the date of being defunded."

NSFAS described that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the scholar is going to be answerable for payment of rent towards the lessor with the date of being defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the here 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 more info any dispute arising between the parties regarding the interpretation or implementation of the agreement, must be dealt with in accordance with nsfas login any dispute resolution procedure determined by NSFAS for nsfas document submission deadline this purpose.
From: SAnews.gov.za

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