Accommodation suppliers 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 after NSFAS obtained experiences about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment so as to get use of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement among the non-public accommodation companies and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the rent will be paid every month to your accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal.

"The lessor may not require 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, including payment of rent, although awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default within the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded get more info student is defunded as a result of an incorrect determination by NSFAS, the student will not be responsible for payment of any arrear rent to your accommodation supplier, up right up until the date of being defunded."

NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going to be accountable for payment of rent to your lessor within the date of currently being defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian more info at any stage, the student must immediately vacate the leased property; and will be liable for payment click here of all rent due to the accommodation provider.

"Where the student moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not check here 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 website 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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