Accommodation providers urged to end demanding deposit from NSFAS funded university 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 comes following NSFAS been given reports about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies with the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning 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 rent will likely be paid monthly on the accommodation company (lessor) by NSFAS, on behalf of your 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 require or allow the lessee to pay a deposit, top-up payments, or some other forms of payment towards the lessor, or every other person in connection with this arrangement, which include payment of lease, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation read more providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by here NSFAS, the student won't be accountable for payment of any arrear rent into the accommodation supplier, up until the day of being defunded."

NSFAS nsfas student document submission deadline defined that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student are going to be accountable for payment of hire for the lessor within 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 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 here scheme nsfas login 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: SAnews.gov.za

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