The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.

This arrives right after NSFAS received reports about some accommodation suppliers who demand NSFAS-funded students to pay a deposit or top-up payment in an effort to get use of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation providers and NSFAS funded students," NSFAS said in a statement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent will likely be paid monthly to the accommodation provider (lessor) by NSFAS, on behalf from 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 allow the lessee to pay a deposit, top-up payments, or every other forms of payment to the lessor, or another person in reference to this agreement, such as payment of hire, even though awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default in the payment of rent by NSFAS," the get more info 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 on account of an incorrect decision by NSFAS, the coed won't be chargeable for payment of any arrear rent towards the accommodation company, up right up until the day of being defunded."

NSFAS described that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of rent on the lessor within the date of currently being defunded.

"Where the student is defunded by read more 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 website 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," nsfas tvet the scheme said.

The scheme emphasised that any dispute arising between the parties regarding the nsfas 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