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



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

This arrives just after NSFAS acquired stories about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment in order to get usage of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement between the non-public accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent will probably be paid out every month to the accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.

"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or almost every other forms of payment on the lessor, or any other person in reference to this agreement, together with payment of rent, when awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private nsfas eligibility criteria accommodation suppliers’ 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 won't be answerable for payment of any arrear rent to your accommodation provider, up until finally the date of being defunded."

NSFAS described that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding nsfas university allowances getting defunded by NSFAS, the scholar will be answerable for payment of lease towards the lessor in the date 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 get more info 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 implementation of the read more agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for nsfas this purpose.
From: SAnews.gov.za

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