Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.
This comes after NSFAS acquired reports about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment in order to get access to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the non-public accommodation vendors and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid out every month to the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or almost every other types of payment to the lessor, or any other person in reference to this agreement, like payment of hire, while awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default during the nsfas student allowances payment of rent by NSFAS," the agreement 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 resulting from an incorrect decision by nsfas document submission deadline NSFAS, the scholar won't be responsible for payment of any arrear rent for the accommodation provider, up right until the day of being defunded."
NSFAS explained that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar is going to be chargeable for payment of rent to the lessor from the day of getting read more defunded.
"Where the student is click here 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 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 parties regarding the interpretation or implementation of the agreement, must be website dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za