Accommodation companies urged to end demanding deposit from NSFAS funded college students
Accommodation companies urged to end 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 been given reports about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment in order to get use of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers from the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Agreement in between the personal accommodation suppliers and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will likely be paid every month towards the accommodation service provider (lessor) by NSFAS, on behalf from the 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 call for or permit the lessee to pay a deposit, top-up payments, or every other sorts of payment on the lessor, or some other person in connection with this agreement, together with payment of lease, although awaiting payment from NSFAS. The lessor shall get more info have no recourse versus the lessee for any default during the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a check here consequence of an incorrect choice by NSFAS, the student will not be liable for payment of any arrear rent on the accommodation provider, up right until the date of being defunded."
NSFAS spelled out that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student are going to be accountable for payment of lease to the here lessor through 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; 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 click here 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 more info 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