Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This comes soon after NSFAS received reports about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment in order to get access to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement between the non-public accommodation vendors and NSFAS funded students," NSFAS explained in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease are going to be paid out month-to-month to the accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or some other forms of payment to your lessor, or some other click here person in reference to this agreement, which include payment of rent, when awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, more info the scholar won't be accountable for payment of any arrear rent on the accommodation service provider, up till the day of being defunded."
NSFAS explained that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar are going to be liable for payment of hire into the lessor from the day of remaining 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 website 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 website said.
The scheme emphasised that any dispute here 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 this purpose.
From: SAnews.gov.za