Accommodation vendors urged to stop demanding deposit from NSFAS funded 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 arrives immediately after NSFAS acquired experiences about some accommodation providers who need NSFAS-funded students to pay a deposit or top-up payment so that you can get access to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement in between the non-public accommodation vendors and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease might be paid out monthly on the accommodation provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or any other sorts of payment towards the lessor, or another person in connection with this arrangement, such as payment of lease, whilst awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default inside the more info payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect determination by NSFAS, the student won't be responsible for payment of nsfas university allowances any arrear rent to your accommodation provider, up right up until the date of being defunded."
NSFAS explained that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of rent to the lessor from the day of staying 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 nsfas tvet 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 rental to the new click here 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 more info determined by NSFAS for this purpose.
From: SAnews.gov.za