Accommodation providers urged to halt demanding deposit from NSFAS funded college students
Accommodation providers urged to halt 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 after NSFAS gained stories about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get use of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement in between the private accommodation companies and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent might be paid out every month for the accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or another sorts of payment to the lessor, or another person in connection with this agreement, such as payment click here of hire, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default in the payment click here of rent by NSFAS," the arrangement 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 on account of an incorrect determination by NSFAS, the coed won't be accountable for payment of any arrear rent to the accommodation company, nsfas university allowances up till the date of being defunded."
NSFAS discussed that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the student is going to be chargeable for payment of rent for the lessor with the date of currently being defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at here any stage, the student must immediately vacate the leased property; and will be liable for payment of all rent due to the accommodation read more 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