Accommodation providers urged to end demanding deposit from NSFAS funded college students
Accommodation providers urged to end 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 soon after NSFAS been given reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the private accommodation vendors and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid out regular monthly for the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or almost every other varieties of payment on the lessor, or another person in reference to this arrangement, which include payment of hire, while awaiting payment from NSFAS. The lessor shall don't get more info have any recourse from the lessee for any default in the payment of rent by NSFAS," more info the agreement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect decision by NSFAS, the scholar won't be responsible for payment of any arrear rent on the accommodation service provider, up right until the day of being defunded."
NSFAS described that the place the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be liable for payment of nsfas lease on the lessor in the day of staying 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 nsfas student allowances payment of all rent due more info 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 dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za