The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.

This comes right after NSFAS obtained experiences about some accommodation companies who require NSFAS-funded students to pay a deposit or top-up payment in order to get access to the approved private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation providers of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement in between the private accommodation vendors and NSFAS funded students," NSFAS reported in an announcement on Thursday.

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

"The lessor may not have to have or allow the lessee to pay for a deposit, top-up payments, or almost every other sorts of payment for the lessor, or another person in reference to this agreement, like payment of lease, while awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default while in the payment of nsfashere rent by NSFAS," the arrangement reads.

The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect selection by NSFAS, the student won't be liable for payment of any arrear rent on the accommodation provider, check here up right until the date of being defunded."

NSFAS spelled out that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will be accountable for payment of lease to the lessor through 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 nsfas status check 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 click here NSFAS for this purpose.
From: SAnews.gov.za