Accommodation companies urged to halt demanding deposit from NSFAS funded college 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 gained stories about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment so that you can get use of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement concerning the private accommodation companies and NSFAS funded students," NSFAS said in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states the rent might be paid every month to the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions 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 another sorts of payment to your lessor, or some other person in connection with this agreement, which include payment of lease, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default inside the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect choice by NSFAS, the scholar will not be liable for payment of any arrear rent towards the accommodation provider, up until the date of being defunded."

NSFAS get more info explained that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar is going to be accountable for payment of rent to your lessor through the day 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 here property; and will be liable for nsfas document submission deadline 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 implementation of the agreement, must be nsfas dealt with in accordance with any dispute resolution procedure read more determined by NSFAS for this purpose.
From: SAnews.gov.za

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