Accommodation companies urged to stop demanding deposit from NSFAS funded university students
Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 soon after NSFAS gained experiences about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get use of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers in the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement involving the private accommodation vendors and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will be paid out monthly towards the accommodation company (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or almost every other forms of payment into the lessor, or almost every other person in connection with this arrangement, nsfas university allowances including payment of lease, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect decision click here by NSFAS, the scholar will not be answerable for payment of any arrear rent for the accommodation company, up until finally the day of being defunded."
NSFAS described that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding read more becoming defunded by NSFAS, the student is going to be responsible for payment of hire into the lessor from the day of being 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 here 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 click here 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