Accommodation companies urged to halt demanding deposit from NSFAS funded university students
Accommodation companies urged to halt demanding deposit from NSFAS funded university students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS acquired reports about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get entry to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of your obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement in between the non-public accommodation suppliers and NSFAS funded students," NSFAS stated in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid monthly to your accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay for a deposit, top-up payments, or some other forms of payment to your lessor, or any other person in connection with this arrangement, together with payment of lease, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded read more student is defunded on account of an incorrect determination by NSFAS, the scholar won't be liable for payment of any arrear rent on the accommodation service provider, up right up until the click here day of being defunded."
NSFAS defined that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar are going to be liable for click here payment of hire to your lessor within the day of staying defunded.
"Where here 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 student allowances 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