Accommodation suppliers urged to stop demanding deposit from NSFAS funded college students
Accommodation suppliers urged to stop 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 following NSFAS acquired reports about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment in order to get use of the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement among the private accommodation providers and NSFAS funded students," NSFAS said in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will likely be paid monthly 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 demand or allow the lessee to pay for a deposit, top-up payments, or every other kinds of payment to the lessor, or almost every other person in reference to this agreement, such as payment of rent, though awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect decision by NSFAS, the student will not be liable for payment of any arrear rent for the accommodation supplier, up right up until the date of being defunded."
NSFAS discussed that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student are going to be answerable for payment of hire website towards the lessor from the day of getting defunded.
"Where the student is defunded by here 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 check here 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 nsfas the parties regarding the interpretation or check here 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