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

This arrives after NSFAS received stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the accepted private accommodation.

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

The Standardised Fixed-Term Lease Agreement states which the rent is going to be paid out every month towards the accommodation service provider (lessor) by NSFAS, on behalf of 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 call for or allow the lessee to pay for a deposit, top-up payments, or every other kinds of payment on the lessor, or another person in reference to this arrangement, such as payment of rent, although awaiting payment from NSFAS. The lessor shall don't have any nsfas application delay recourse towards the lessee for read more any default while in the payment of rent by NSFAS," the 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 resulting from an incorrect determination by NSFAS, the coed won't be chargeable for payment of any arrear rent to your accommodation supplier, up until the day of being defunded."

NSFAS explained that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to be liable for payment of lease towards the lessor through the day of website getting 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 may elect not to pay any rental to the here 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 website 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