Accommodation vendors urged to stop demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This arrives just after NSFAS received experiences about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment so that you can get use of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies from the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement involving the private accommodation companies and NSFAS funded students," NSFAS stated in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will be paid out regular to the accommodation service provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay a deposit, top-up payments, or almost every other varieties of payment to your lessor, or almost every other person in connection with this arrangement, which include payment of rent, even though awaiting payment from NSFAS. The lessor shall haven't any recourse in get more info opposition to the lessee for any default within the payment of rent by NSFAS," the agreement 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 resulting from an incorrect determination by NSFAS, the scholar will not be chargeable for payment of any arrear rent on the accommodation supplier, up right until the date of being defunded."
NSFAS spelled out that exactly where the NSFAS-funded read more student chooses to carry on occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be liable for payment of lease into the lessor from the day of getting defunded.
"Where the student is defunded by check here 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 here accommodation provider.
"Where the student moves, read more accommodation 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 be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za