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 after NSFAS been given experiences about some accommodation suppliers who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the private accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease will be paid out monthly to the accommodation service provider (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or almost every other kinds of payment to the lessor, or another person in connection with this arrangement, such as payment of lease, whilst awaiting payment get more info from NSFAS. The lessor shall don't have any recourse towards the lessee for any default in the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect choice by NSFAS, the scholar will not be chargeable for payment of any arrear rent into the accommodation supplier, up until get more info the day of being defunded."
NSFAS described that the place the get more info NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the student is going to be responsible for payment of rent to the lessor from the day of remaining defunded.
"Where the student is more info 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 moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not to pay any rental read more 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 this purpose.
From: SAnews.gov.za