Accommodation companies urged to stop demanding deposit from NSFAS funded students
Accommodation companies urged to stop demanding deposit from NSFAS funded 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 right after NSFAS obtained reports about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment as a way to get access to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease are going to be paid out regular into the accommodation company (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or almost every other types of payment towards the lessor, or another person in connection with this arrangement, such as payment of hire, whilst awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default while in the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation companies’ click here participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the student won't be responsible for payment of any arrear rent towards the accommodation provider, up till the day of being defunded."
NSFAS described that nsfas application delay wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student is going to be chargeable for payment of lease to your lessor through the day of being defunded.
"Where the student is defunded by NSFAS due get more info to click here 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 nsfas 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