Accommodation providers urged to halt demanding deposit from NSFAS funded college students



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.

This arrives just after NSFAS gained reports about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get entry to the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement in between the private accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.

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

"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or every other kinds of payment into the lessor, or some other person in connection with this arrangement, which includes payment of hire, while awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default from the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation companies’ participation on the student check here accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the coed won't be responsible for payment of any arrear rent to the accommodation company, up till the day of being defunded."

NSFAS defined that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar are going to be answerable for payment of rent towards the lessor in the date of staying defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian check here 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 without the prior approval of NSFAS, NSFAS may elect not to pay any more info rental to the website 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 by NSFAS for this purpose.
From: here SAnews.gov.za

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