Accommodation providers urged to end demanding deposit from NSFAS funded students
Accommodation providers urged to end demanding deposit from NSFAS funded 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 arrives after NSFAS gained experiences about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment in order to get usage of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of your compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement 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 rent is going to be paid out month-to-month for the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or almost every other types of payment on the lessor, or another person in reference to this arrangement, which includes payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default while in the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions here for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect decision by NSFAS, the student will check here not be chargeable for payment of any arrear rent into the accommodation provider, up right up until the date of being defunded."
NSFAS stated that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the student are going to be liable for payment of hire to the lessor from the day of remaining 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 nsfas eligibility criteria approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any such rental payments will be more info for the student own account," the scheme nsfas document submission deadline 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