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 obtained stories about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the permitted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement amongst the private accommodation providers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states that the rent might be paid regular to the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not need or permit the lessee to pay a deposit, top-up payments, or some other sorts of payment to the lessor, or any other person in reference to this arrangement, which includes payment of lease, even website though awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any default from the payment of rent by NSFAS," the agreement reads.

The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal website also states that: "Where the NSFAS-funded student is defunded on account of an incorrect choice by NSFAS, the student won't be answerable for payment of any arrear rent into the accommodation company, click here up until eventually the date of being defunded."

NSFAS defined that exactly where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going to be liable for payment of hire read more to your lessor from the day 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 the leased property; and will be liable for payment of all rent due to the accommodation here 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 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