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 just after NSFAS been given stories about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment in order to get access to the authorized private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation companies from the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement between the private accommodation suppliers and NSFAS funded students," NSFAS reported in an announcement on Thursday.

The Standardised Fixed-Term Lease Agreement states which the lease might be paid every month on the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.

"The lessor may not need or allow the lessee to pay for a deposit, top-up payments, or any other types of payment to the lessor, or any other person in connection with this agreement, like payment of lease, although awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any default nsfas while in the payment of rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private nsfas allowances accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the student will not be responsible for payment of any arrear rent to your accommodation provider, up right until the date of being defunded."

NSFAS explained that in which the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to be chargeable website for payment of rent for the lessor within the date of getting defunded.

"Where the student is defunded by NSFAS due to a misrepresentation by read more 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," the scheme said.

The scheme emphasised more info 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