Accommodation suppliers urged to end 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 immediately after NSFAS received reports about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get access to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement among the non-public accommodation suppliers and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent might be paid monthly into the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or some other sorts of payment towards the lessor, or another person in connection with this agreement, such as payment of hire, though awaiting payment from NSFAS. The lessor website shall don't have any recourse versus 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 website that: "Where the NSFAS-funded student is defunded on account of an incorrect choice by NSFAS, the student won't be chargeable for payment of any arrear rent to the accommodation supplier, up until the date of being defunded."
NSFAS spelled out that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the more info student is going to be accountable for payment of rent towards the lessor within the date of website staying 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 any dispute arising between the parties regarding the interpretation or check here 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