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 acquired stories about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment so as to get usage of the accepted private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies of the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the private accommodation providers and NSFAS funded students," NSFAS reported in a press release on Thursday.

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

"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or almost every other sorts of payment for the lessor, or any other person in connection with this arrangement, like payment of read more hire, although more info awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS conditions and terms for private accommodation companies’ participation on more info the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the scholar won't be liable for payment of any arrear rent into the accommodation service provider, up until finally read more the date of being defunded."

NSFAS spelled out that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar will be answerable for payment of lease towards the lessor from the 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 liable for payment of all rent due to the accommodation provider.

"Where the student moves, accommodation providers without the prior approval check here 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