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 companies who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the private accommodation providers and NSFAS funded students," NSFAS explained in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid out every month on the accommodation supplier (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not need or permit the lessee to pay a deposit, top-up payments, or any other sorts of payment to the lessor, or another person in connection with this arrangement, such as payment of lease, though awaiting payment from NSFAS. The lessor shall have no recourse more info towards the lessee for any default in the payment of rent by NSFAS," the arrangement reads.

The click here NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect selection by NSFAS, the coed won't be answerable for payment of any arrear rent on the accommodation company, up right until the day of nsfas student document submission deadline being defunded."

NSFAS stated that exactly where the NSFAS-funded student chooses to carry on click here occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be liable for payment of rent into the lessor with the day of being 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 new accommodation provider, and any such rental payments will be for the student own account," here 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