Accommodation providers urged to end demanding deposit from NSFAS funded college 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 arrives just after NSFAS received stories about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment as a way to get entry to the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement amongst the personal accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.

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

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or any other kinds of payment to your lessor, or every other person in connection with this arrangement, which includes payment of hire, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse towards 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 student nsfas tvet accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the student won't be accountable for payment of any arrear rent on the accommodation service provider, up until finally the date of being defunded."

NSFAS stated that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student is going to be answerable for payment of rent for the lessor through click here the day of getting defunded.

"Where the student is defunded by NSFAS due to a website 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 nsfas application delay 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 nsfas allowances 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

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