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

This arrives right after NSFAS obtained reports about some accommodation suppliers who demand NSFAS-funded students to pay a deposit or top-up payment in order to get entry to the authorised private accommodation.

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

The Standardised Fixed-Term Lease Agreement states the rent will likely be paid regular monthly to your accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.

"The lessor may not demand or permit the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment for the lessor, or any other person in reference to this agreement, such as payment of hire, even though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default inside the payment of rent by NSFAS," the arrangement 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 nsfas student document submission deadline resulting from an incorrect decision by NSFAS, click here the coed won't be responsible for payment of any arrear rent towards the accommodation company, up until finally the day of being defunded."

NSFAS explained that the place the NSFAS-funded student chooses to carry on occupying the website leased premises, notwithstanding being defunded by NSFAS, the student is going to be answerable for payment of hire to 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 more info 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 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 read more determined by NSFAS for this purpose.
From: SAnews.gov.za