Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
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 right after NSFAS gained reports about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment as a way to get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement among the private accommodation providers and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid monthly on the accommodation supplier (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private 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 sorts of payment for the lessor, or almost every other person in connection with this agreement, which get more info include payment of rent, even though awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default during 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 resulting from an incorrect choice by NSFAS, the scholar will not be responsible for payment of any arrear rent towards the accommodation company, up right until the date of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student will be liable for payment of lease into the lessor in the date of staying defunded.
"Where the student click here 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 read more 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 here regarding the interpretation or implementation of the website agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za