Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS acquired stories about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment to be able to get use of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement between the private accommodation vendors and NSFAS funded students," NSFAS said in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will likely be paid month to month for the accommodation provider (lessor) by NSFAS, on behalf from 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 have to have or permit the lessee to pay for a deposit, top-up payments, or every other forms of payment to your lessor, or some other person in connection with this arrangement, such as payment of lease, when awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The check here NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect determination by NSFAS, the scholar will not be liable for payment of any arrear rent here to your accommodation company, up until eventually the day of nsfas eligibility criteria being defunded."
NSFAS stated that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will be accountable for payment of hire to read more your lessor with the date of becoming 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 nsfas status check 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