Accommodation vendors urged to stop demanding deposit from NSFAS funded students
Accommodation vendors urged to stop 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 soon after NSFAS received experiences about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement involving the private accommodation companies and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid out month to month towards the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or some other varieties of payment for the lessor, or some other person in reference to this arrangement, which include payment of hire, when awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect selection by NSFAS, the student will not be chargeable for payment of any arrear rent to your accommodation company, up right up until the day of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the student are going to be chargeable for payment of hire to the lessor in the date of being defunded.
"Where the student is defunded by NSFAS due to check here a misrepresentation by the nsfas lessee/guardian at any stage, the student must immediately vacate the leased property; and will here 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 nsfas student document submission deadline 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 website by NSFAS for this purpose.
From: SAnews.gov.za