Accommodation companies urged to halt demanding deposit from NSFAS funded students



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

This comes following NSFAS acquired reports about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of your compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation companies and NSFAS funded students," NSFAS said in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease are going to be paid month-to-month towards the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or any other sorts of payment for the lessor, or every other person in reference to this agreement, which include payment of rent, even though awaiting payment from NSFAS. The lessor shall haven't any recourse in website opposition to the lessee for any default in 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 as a consequence of an incorrect read more choice by NSFAS, the coed won't be accountable for payment of any arrear rent on the accommodation service provider, up until website finally the date of being defunded."

NSFAS spelled out that where by the NSFAS-funded student chooses to carry on check here occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be accountable for payment of lease on the lessor with the day 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 nsfas eligibility criteria 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.
From: SAnews.gov.za

Leave a Reply

Your email address will not be published. Required fields are marked *