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 following NSFAS received reports about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment so as to get use of the authorized private accommodation.

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

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

"The lessor may not demand or permit the lessee to pay for a deposit, top-up payments, or another varieties of payment on the lessor, or any other person in reference to this agreement, such as payment of hire, when awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for more info any default within the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private more info accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect determination by NSFAS, the student will not be responsible for payment of any arrear rent into the accommodation supplier, up until finally the day of being defunded."

NSFAS defined that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the more info scholar will be responsible for payment of hire into the lessor from your date 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 more info 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 pay any rental to the new accommodation provider, and any such rental payments will be for the student nsfas allowances 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: SAnews.gov.za