Accommodation providers urged to end demanding deposit from NSFAS funded university 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 received experiences about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement among the private accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid monthly towards the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or any other varieties of payment to your lessor, or every other person in reference to this arrangement, together with payment of rent, although awaiting payment from read more NSFAS. The lessor shall have no recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement 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 due to an incorrect choice by NSFAS, the coed won't be answerable for payment of any arrear rent towards the accommodation supplier, up till the date of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will check here be responsible for payment of lease for the lessor through the date of staying defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the here 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 nsfas academic pathways 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 nsfas eligibility criteria by NSFAS for this purpose.
From: SAnews.gov.za