Accommodation companies urged to halt demanding deposit from NSFAS funded university students
Accommodation companies urged to halt 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 right after NSFAS obtained reports about some accommodation vendors who need NSFAS-funded students to pay for a deposit or top-up payment in order to get access to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors in the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation providers and NSFAS funded students," NSFAS explained in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent are going to be paid every month towards the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not require or permit the lessee to pay a deposit, top-up payments, or every other kinds of payment on the lessor, or some other person in connection with this agreement, like payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse versus the lessee for any default within the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ participation read more on the student accommodation portal also check here states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the student will not be accountable for payment of any arrear rent on the accommodation supplier, up until the day of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student will be responsible for payment of rent to the lessor within read more the day 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 property; more info 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 nsfas 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