Accommodation vendors urged to halt demanding deposit from NSFAS funded students



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

This arrives just after NSFAS obtained experiences about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment so as to get usage of the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement amongst the non-public accommodation providers and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.

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

"The lessor may not call for or permit the lessee to pay for a deposit, top-up payments, or every other varieties of payment for the lessor, or any other person in reference to this agreement, like payment of lease, although awaiting payment from website NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation providers’ 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 student won't be accountable for payment of any arrear rent to your accommodation provider, up right until the date of being defunded."

NSFAS stated that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student will be chargeable for payment of hire for the lessor with the date of becoming defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must immediately vacate read more 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 here pay any rental to the read more 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 purpose.
From: nsfas application delay SAnews.gov.za

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