Accommodation companies urged to halt demanding deposit from NSFAS funded students
Accommodation companies urged to halt demanding deposit from NSFAS funded 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 acquired reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get access to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the personal accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid out every month into the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not call for or permit the lessee to pay a deposit, top-up payments, or another types of payment on the lessor, or almost every other person in reference to this agreement, like payment of hire, while more info awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect determination by NSFAS, the student won't be accountable for payment of any arrear rent for the accommodation service click here provider, up until the day of being defunded."
NSFAS described that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar are going to be accountable for payment of lease to your lessor from the date of read more getting 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 click here 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 get more info 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