Accommodation vendors urged to stop demanding deposit from NSFAS funded college students
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 just after NSFAS received reports about some accommodation providers who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get access to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers on the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement involving the private accommodation vendors and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will be paid month to month towards the accommodation service provider (lessor) by NSFAS, on behalf in the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or every other sorts of payment to the lessor, or every other person in connection with this arrangement, like payment of hire, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any default from the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ 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 will not be get more info chargeable for payment of any arrear rent to the accommodation supplier, up right until the day of being defunded."
NSFAS defined that where by the NSFAS-funded student chooses to carry on click here occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going to be chargeable for payment of lease on the lessor within the date of being more info 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 click here 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 website 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