Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not demand a deposit or top-up payment from NSFAS-funded students.
This comes after NSFAS acquired experiences about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement between the non-public accommodation vendors and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease might be paid out regular into the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or every other forms of payment into the lessor, or almost every other person in reference to this agreement, such as payment of lease, whilst awaiting payment from NSFAS. The here lessor shall have no recourse versus the lessee for any default during the payment of rent by NSFAS," the agreement 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 due to an incorrect decision by NSFAS, the student won't be answerable for payment of any arrear rent to your accommodation company, up until get more info the day of being defunded."
NSFAS spelled out that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student are going to be answerable for payment of rent towards the lessor within the date of currently 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 website provider.
"Where more info the student moves, accommodation providers without the prior approval of NSFAS, NSFAS may elect not to pay any rental to click here 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