Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Accommodation companies urged to halt demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This comes after NSFAS received reports about some accommodation vendors who require NSFAS-funded students to pay for a deposit or top-up payment to be able to get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement in between the non-public accommodation providers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent are going to be paid out month to month towards the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not need or permit the lessee to pay a deposit, top-up payments, or any other forms of payment into the lessor, or every other person in reference to this arrangement, together with payment of hire, although awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement 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 on account of an incorrect determination by NSFAS, the student will not be answerable for payment of any arrear get more info rent to more info the accommodation provider, up right until the day of being defunded."
NSFAS stated that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar are going to be responsible for check here payment of lease towards the lessor from your date of remaining 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 nsfas academic pathways 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 here be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za