Accommodation companies urged to end demanding deposit from NSFAS funded students
Accommodation companies urged to end demanding deposit from NSFAS funded students
Blog Article
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 following NSFAS gained reports about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will be paid out regular monthly to your accommodation provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not require or permit the lessee to pay a deposit, top-up payments, or every other kinds of payment to your lessor, or almost every other person in connection with this agreement, which include payment of hire, while awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for more info private 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 scholar won't be responsible for payment of any arrear rent check here for the accommodation supplier, up right here up until the date of being defunded."
NSFAS explained that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be answerable for payment of lease into the lessor with the date of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student more info 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 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 more info this purpose.
From: SAnews.gov.za