Accommodation vendors urged to end demanding deposit from NSFAS funded 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 after NSFAS received stories about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment so that you can get use of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement among the private accommodation suppliers and NSFAS funded students," NSFAS said in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent will be paid out every month for the accommodation service provider (lessor) by NSFAS, on behalf in 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 permit the lessee to pay a deposit, top-up payments, or some other varieties of payment for the lessor, or almost every other person in reference to this arrangement, such as payment of rent, though awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default from the payment of rent by NSFAS," read more the arrangement reads.

The NSFAS terms and conditions click here for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect selection by NSFAS, the scholar will not be responsible for payment of any arrear rent to your accommodation company, up until eventually the day 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 scholar is going to be accountable for payment of hire into the lessor with 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 nsfas tvet all rent due to the accommodation provider.

"Where the student moves, click here 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 nsfas tvet purpose.
From: SAnews.gov.za

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