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

This comes soon after NSFAS obtained reports about some accommodation providers who need NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the non-public accommodation companies 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 every month on the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.

"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or every other kinds of payment to the lessor, or another person in connection with this agreement, like payment of hire, when awaiting here payment from NSFAS. The lessor shall have no recourse against the lessee for any default within the payment of rent by NSFAS," the agreement reads.

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

NSFAS defined that the place the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be liable for payment of rent for the lessor through the date of being defunded.

"Where the student is defunded by NSFAS due here 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 new accommodation provider, read more 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 website with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za