Accommodation providers urged to halt demanding deposit from NSFAS funded college 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 comes right after NSFAS gained experiences about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement amongst the personal accommodation suppliers and NSFAS funded students," NSFAS mentioned in a statement on Thursday.

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

"The lessor may not have to have or permit the lessee to pay a deposit, top-up payments, or almost every other types of payment for the lessor, or another person in reference to this arrangement, like payment of rent, even though awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default from the click here payment of rent by NSFAS," the agreement reads.

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

NSFAS explained that exactly nsfas student allowances where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar is going to be responsible for payment of lease to your lessor with the day of staying defunded.

"Where the student is defunded more info 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 nsfas document submission deadline 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 dispute resolution procedure determined more info by NSFAS for this purpose.
From: SAnews.gov.za

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