Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 right after NSFAS acquired stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment in an effort to get entry to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the private accommodation vendors and NSFAS funded students," NSFAS stated in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent is going to be paid out regular towards the accommodation supplier (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not need or permit the lessee to pay a deposit, top-up payments, or some other sorts of payment into the lessor, or another person in reference here to this arrangement, like payment of lease, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default within the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the nsfas status check NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the student won't be answerable for payment of any arrear rent into the accommodation service provider, up until eventually the day of being defunded."

NSFAS stated that where the NSFAS-funded student chooses to continue occupying the nsfas status check leased premises, notwithstanding being defunded by NSFAS, the student are going to be responsible for payment of rent into the lessor from your date of currently 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 without the prior approval of NSFAS, NSFAS may elect not to pay any rental here 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 click here dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za

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