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 to not demand a deposit or top-up payment from NSFAS-funded students.
This comes after NSFAS received stories about some accommodation providers who demand NSFAS-funded students to pay a deposit or top-up payment in an effort to get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement in between the personal accommodation vendors and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease are going to be paid out monthly on the accommodation company (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay for a deposit, top-up payments, or any other types of payment for the lessor, or some other person in connection with this agreement, such as payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default in the payment nsfas allowances of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ 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 responsible for payment of any arrear rent to your accommodation provider, up until the date of being defunded."
NSFAS explained that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student is going to be more info answerable for payment of rent towards the lessor from your date of currently being 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 click here 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 to the new accommodation provider, and any such rental payments will be nsfas for the student own account," the scheme more info 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