Accommodation vendors urged to stop demanding deposit from NSFAS funded university students
Accommodation vendors urged to stop demanding deposit from NSFAS funded university students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.
This comes immediately after NSFAS received stories about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment to be able to get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement involving the non-public accommodation vendors and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid regular to the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment towards the lessor, or almost every other person in connection with this arrangement, including payment of rent, while awaiting payment from NSFAS. The lessor shall have no recourse in read more opposition to the lessee for any default inside the payment of rent by get more info 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 as a consequence of an incorrect choice by NSFAS, the scholar will not be accountable for payment of any arrear rent to the accommodation service provider, up right until the date of being defunded."
NSFAS defined that where website the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be responsible for payment of rent to your lessor in the day of 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 property; click here 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 check here 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 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