Accommodation vendors urged to end demanding deposit from NSFAS funded university 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 comes immediately after NSFAS gained experiences about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get use of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement involving the personal accommodation vendors and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent might be paid out monthly on the accommodation provider (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal 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 some other forms of payment into the lessor, or another read more person in connection with this arrangement, including payment of rent, while awaiting payment from NSFAS. The lessor shall have no recourse towards click here the lessee for any default within 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: read more "Where the NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the student will not be accountable for payment of any arrear rent for the accommodation company, up till the date website of being defunded."

NSFAS discussed that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of hire on the lessor within the date of becoming 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 nsfas university allowances 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.
From: SAnews.gov.za

Leave a Reply

Your email address will not be published.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