Accommodation vendors urged to stop demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This comes 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 authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement amongst the non-public accommodation vendors and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease are going to be paid out regular into the accommodation provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or any other types of payment for the lessor, or every other person in connection with this arrangement, together with payment of hire, even though awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee here for any default inside the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect decision by NSFAS, the scholar will not be accountable for payment of any arrear rent to the accommodation service provider, up until finally the day of being defunded."
NSFAS nsfas student document submission deadline defined that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be answerable for payment of rent on the lessor in 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 click here payment of read more 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 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 website for this purpose.
From: SAnews.gov.za