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 demand a deposit or top-up payment from NSFAS-funded students.
This arrives following NSFAS obtained reports about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement amongst the non-public accommodation companies and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid monthly on the accommodation supplier (lessor) by NSFAS, on behalf with 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 demand or allow the lessee to pay for a deposit, top-up payments, or another kinds of payment to your lessor, or any other person in connection with this agreement, such as payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse versus the lessee for any default during the nsfas application delay payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation providers’ 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 student won't be chargeable for payment of any arrear rent to your accommodation supplier, up until the day of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student will check here be responsible for payment of hire for the lessor within the date of becoming 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 for payment of all rent due to the accommodation provider.
"Where the student moves, accommodation providers click here without the prior approval of NSFAS, NSFAS may elect read more 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 click here 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