Accommodation companies urged to stop demanding deposit from NSFAS funded students
Accommodation companies 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 arrives right after NSFAS gained stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement among the private accommodation suppliers and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent are going to be paid month to month towards the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or almost every other types of payment to your lessor, or any other person in reference to this arrangement, including payment of here hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default during the payment of rent by here NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect determination by NSFAS, the student will not be chargeable for payment of any arrear rent towards the accommodation service provider, up until eventually the day of being defunded."
NSFAS discussed that where the NSFAS-funded student chooses to nsfas university allowances carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be answerable for payment of rent towards the lessor through the day of staying 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 check here 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 provider, and any such rental payments will be for the student own account," the scheme said.
The scheme emphasised that any dispute arising between click here 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