Accommodation providers urged to stop demanding deposit from NSFAS funded college students



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

This comes immediately after NSFAS received reports about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the authorised private accommodation.

Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement in between the non-public accommodation suppliers and NSFAS funded students," NSFAS said in a press release on Thursday.

The Standardised Fixed-Term Lease Agreement states the lease will likely be paid out month to month on the accommodation provider (lessor) by NSFAS, on behalf in 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 call for or allow the lessee to pay a deposit, top-up payments, or any other kinds of payment to your lessor, or another person in reference to this agreement, which includes payment of lease, though awaiting payment from NSFAS. The lessor shall haven't any recourse versus 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 decision by NSFAS, the student won't be accountable for payment of any arrear rent towards read more the accommodation service provider, up until finally the day of being defunded."

NSFAS defined that where the NSFAS-funded student nsfas status check chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be answerable for payment of lease towards 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 website 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 get more info be for the student own account," the scheme said.

The scheme emphasised that any dispute arising between the parties regarding the interpretation or get more info 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

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