Accommodation vendors urged to end demanding deposit from NSFAS funded college 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 comes right after NSFAS gained experiences about some accommodation suppliers who require NSFAS-funded students to pay a deposit or top-up payment so that you can get usage of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement in between the non-public accommodation vendors and NSFAS funded students," NSFAS explained in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease is going to be paid month-to-month to the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.

"The lessor may not need or allow the lessee to pay for a deposit, top-up payments, or some other forms of payment to your lessor, or some other person in reference to this agreement, together with payment of rent, though awaiting payment from NSFAS. The lessor shall have no recourse versus the lessee for any default inside the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation providers’ participation on the more info student nsfas tvet accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect decision by NSFAS, the student will not be answerable for payment of any arrear rent towards the accommodation service provider, up right until the date of being defunded."

NSFAS explained that exactly where the NSFAS-funded student chooses to continue occupying here the leased premises, notwithstanding becoming defunded by NSFAS, the scholar will be liable for payment of hire for the lessor in the day of getting defunded.

"Where the nsfas university allowances 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 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. click here
From: SAnews.gov.za

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