Accommodation suppliers 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 after NSFAS received reports about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment so as to get usage of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies in the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the personal accommodation vendors and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent will likely be paid every month to your accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.

"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or every other forms of payment to the lessor, or any other person in reference to this arrangement, like payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default while in the payment of here rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect decision by NSFAS, the student won't be accountable for payment website of any arrear rent towards the check here accommodation supplier, up until finally the date of being defunded."

NSFAS explained that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be responsible for payment of lease to your lessor from the date of becoming defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at read more 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 read more by NSFAS for this purpose.
From: SAnews.gov.za

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