Accommodation providers urged to halt demanding deposit from NSFAS funded 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 soon after NSFAS received reports about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment in order to get use of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers from the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement in between the personal accommodation providers and NSFAS funded students," NSFAS explained in a statement on Thursday.

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

"The lessor may not have to have or allow the lessee to pay for a deposit, top-up payments, or some other forms of payment on the lessor, or almost every other person in connection with this agreement, like payment of hire, whilst awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default within the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal nsfas student allowances also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect decision by NSFAS, the coed will not be chargeable for payment of any arrear rent into the accommodation provider, up till the day of being defunded."

NSFAS spelled out that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar is going to be accountable for payment of hire on the lessor from your day of here currently nsfas student document submission deadline 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 student moves, accommodation providers check here 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 website dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

Leave a Reply

Your email address will not be published. Required fields are marked *