Accommodation vendors urged to stop demanding deposit from NSFAS funded college students
Accommodation vendors 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 following NSFAS acquired stories about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment so as to get use of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Agreement among the private accommodation vendors and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent might be paid out month to month towards the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or any other sorts of payment for the lessor, or any other person in reference to this agreement, together with payment of lease, while awaiting payment from NSFAS. The lessor shall haven't read more any recourse towards the lessee for any default during the payment of rent by check here NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect selection by NSFAS, the scholar will not be answerable for payment of any arrear rent for the accommodation service provider, up until finally more info the day of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded nsfas allowances by NSFAS, the scholar will be chargeable for payment of hire for the lessor with the day of becoming 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 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, check here must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za