Accommodation suppliers urged to end 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 just after NSFAS been given stories about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors of your compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement involving the personal accommodation suppliers and NSFAS funded students," NSFAS stated in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease will be paid regular to the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.

"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or almost every other kinds of payment towards the lessor, or almost every other person in connection with this agreement, including payment of lease, whilst awaiting payment from NSFAS. The lessor shall have get more info no recourse against the lessee for any default in the payment of rent by NSFAS," the arrangement 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 resulting from an incorrect selection by NSFAS, the scholar won't be chargeable for payment of any arrear rent into the accommodation service provider, up right up until the date of here being defunded."

NSFAS spelled out that exactly where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by read more NSFAS, the scholar will be responsible for payment of hire towards the lessor with the date of getting 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, more info 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 implementation of the agreement, must be dealt with in accordance with any nsfas eligibility criteria dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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