Accommodation companies urged to halt demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This comes just after NSFAS gained reports about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment to be able to get access to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the personal accommodation suppliers and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease are going to be paid out regular to the accommodation supplier (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or almost every other sorts of payment towards the lessor, or some other person in reference to this arrangement, like payment of hire, even though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ participation on the get more info student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect selection by NSFAS, the student will not be liable for payment of any arrear rent on the accommodation provider, up right until get more info the date of being defunded."
NSFAS discussed that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going to be website accountable for payment of lease to the lessor from your date 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; website 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 for the student own account," the scheme said.
The scheme emphasised that any dispute website 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