Accommodation providers urged to end 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 immediately after NSFAS gained reports about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment to be able to get usage of the accredited private accommodation.

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

The Standardised Fixed-Term Lease Agreement states that the rent might be paid out every month on the accommodation supplier (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or some other kinds of payment for the lessor, or almost every other person in connection with this arrangement, such as payment of rent, nsfas university allowances though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default inside the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions 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 decision by NSFAS, the scholar will not be accountable for payment of any arrear rent to your accommodation company, up until the date of being defunded."

NSFAS described that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by website NSFAS, the scholar are going to be accountable for payment of rent to the lessor from the date of staying 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 here due to the accommodation provider.

"Where the student moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not to pay any get more info rental to the new accommodation provider, and any such rental payments will be for the student own account," the scheme said.

The nsfas login 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: SAnews.gov.za

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