Accommodation suppliers urged to stop demanding deposit from NSFAS funded college students



The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.

This arrives right after NSFAS been given experiences about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment so that you can get usage of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement involving the non-public accommodation vendors and NSFAS funded students," NSFAS mentioned in a statement on Thursday.

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

"The lessor may not have to have or allow the lessee to pay for a deposit, top-up payments, or almost every other varieties of payment towards the lessor, or any other person in reference to this agreement, together with payment of rent, when awaiting payment from NSFAS. The lessor shall haven't any recourse versus the lessee for any default during the payment of rent click here by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the student won't be here responsible for payment of any arrear rent into the accommodation service provider, up until finally the day of being defunded."

NSFAS discussed that where by the NSFAS-funded student chooses to check here continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be accountable for payment of lease to the lessor through the date of remaining 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 get more info 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 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. nsfas academic pathways
From: SAnews.gov.za

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