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

This comes following NSFAS been given experiences about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment so that you can get use of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement amongst the private accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.

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

"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or any other types of payment to the lessor, or some other person in reference to this agreement, together with payment of rent, when awaiting payment from NSFAS. check here The lessor shall have no recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the agreement reads.

The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal nsfas university allowances also states that: "Where the NSFAS-funded student is defunded on account of an incorrect determination by NSFAS, the scholar won't more info be liable for payment of any arrear rent for the accommodation supplier, up right until the day of being defunded."

NSFAS explained that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student will be liable for payment of rent to the lessor from the day of remaining 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 all rent due to the accommodation provider.

"Where the student moves, accommodation providers without the prior approval of NSFAS, NSFAS get more info 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 more info this purpose.
From: SAnews.gov.za