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 never to require a deposit or top-up payment from NSFAS-funded students.
This arrives soon after NSFAS received reports about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get use of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the private accommodation providers and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent are going to be paid regular towards the accommodation company (lessor) by NSFAS, on behalf of your 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 involve or permit the lessee to pay a deposit, top-up payments, or almost every other types of payment for the lessor, or every other person in connection with this agreement, including payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default from the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ 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 won't be responsible for payment of any arrear rent on the accommodation supplier, up right up until the date of being defunded."
NSFAS explained that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding click here becoming defunded by NSFAS, the scholar will be liable for payment of lease into the lessor with the date of currently being here 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 nsfas the new nsfas allowances accommodation provider, and any such rental payments will be get more info 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