Accommodation providers urged to end demanding deposit from NSFAS funded university students



The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.

This comes following NSFAS gained stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accredited private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement involving the personal accommodation providers and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease might be paid regular monthly towards the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.

"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or every other forms of payment to your lessor, or some other person in reference to this agreement, which includes payment of lease, whilst awaiting payment from read more NSFAS. The click here lessor shall don't have any recourse against the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation read more companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, the coed won't be accountable for payment of any arrear rent to the accommodation company, up right up until the date of being defunded."

NSFAS spelled out that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be responsible for payment of lease on the lessor with the day of staying 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 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 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 more info 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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