Accommodation vendors urged to halt 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 comes immediately after NSFAS acquired experiences about some accommodation suppliers who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get use of the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers with the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement involving the non-public accommodation vendors and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid every month to the accommodation provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal.
"The lessor may not require or allow the lessee to pay for a deposit, top-up payments, or almost every other sorts of payment to your lessor, or almost every other person in connection with this agreement, together with payment of lease, even though awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default within the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, the scholar will not be liable for payment of any arrear rent on the accommodation supplier, up right until the day nsfas student document submission deadline of being defunded."
NSFAS spelled out that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to be liable for payment of rent on the lessor from the date of getting 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 due to the accommodation provider.
"Where the student moves, accommodation providers without the prior approval of NSFAS, NSFAS check here may elect not to pay any rental to the new accommodation provider, and any nsfas academic pathways such nsfas application delay rental payments will be for the student own account," the scheme said.
The scheme emphasised that any dispute arising between the parties regarding the get more info 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