Accommodation vendors urged to end demanding deposit from NSFAS funded university students



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

This arrives soon after NSFAS acquired stories about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment to be able to get entry to the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement amongst the non-public accommodation companies and NSFAS funded students," NSFAS said in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent might be paid out monthly to your accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not demand or permit the lessee to pay for a deposit, top-up payments, or some other kinds of payment towards the lessor, or almost every other person in connection with this agreement, such as nsfas student allowances payment of lease, when awaiting payment from NSFAS. The lessor shall haven't any get more info recourse versus the lessee for any default within the payment of rent 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 because of an incorrect choice by NSFAS, the coed won't be chargeable for payment of any arrear rent for the accommodation service provider, up until finally the date of being defunded."

NSFAS described that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar is going to be responsible for payment of lease to your lessor with the date of 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 click here 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 check here 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: nsfas university allowances SAnews.gov.za

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