Accommodation companies urged to halt demanding deposit from NSFAS funded students
Accommodation companies urged to halt demanding deposit from NSFAS funded 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 soon after NSFAS been given reports about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment in order to get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers with the obligatory conditions, as provided by the Standardised Fixed-Term Lease Agreement among the personal accommodation companies and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will be paid out every month for the accommodation service provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay a deposit, top-up payments, or every other forms of payment to your lessor, or almost every other person in connection with this arrangement, like payment of rent, though awaiting payment from NSFAS. The lessor shall have get more info no recourse against the lessee for any default during the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect choice by NSFAS, the scholar will not be answerable for payment of any arrear rent to the accommodation supplier, up until the date of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to carry on occupying here the leased premises, notwithstanding being defunded by NSFAS, the student will be chargeable for payment of lease into the lessor from your day of remaining defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the here 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, NSFAS check here may elect not to pay any rental to the new accommodation provider, and any such rental payments website 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