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 comes immediately after NSFAS gained reports about some accommodation suppliers who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement in between the personal accommodation suppliers and NSFAS funded students," NSFAS reported in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will probably be paid regular monthly on the accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not need or permit the lessee to pay for a deposit, top-up payments, or every other types of payment towards the lessor, or some other person in connection with this agreement, together with payment of hire, although awaiting payment from NSFAS. The lessor shall haven't any recourse from the lessee for any default within the payment of rent by NSFAS," the agreement reads.
The NSFAS terms get more info and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the more info NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the scholar will not be chargeable for payment of any arrear rent for the accommodation provider, up until the day click here of being defunded."
NSFAS defined that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be liable for payment of rent to the lessor within the day 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 check here 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 rental to the new accommodation provider, and any such rental payments will be for the student own here 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