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 demand a deposit or top-up payment from NSFAS-funded students.
This comes just after NSFAS gained reports about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment as a way to get access to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement between the personal accommodation providers and NSFAS funded students," NSFAS explained in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent might be paid out month-to-month to your accommodation supplier (lessor) by NSFAS, on behalf with 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 have to have or permit the lessee to pay a deposit, top-up payments, or every other kinds of payment to your lessor, or another person in reference to this arrangement, which include payment of hire, whilst awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation click here providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded because of an incorrect choice by NSFAS, the student won't be answerable for payment of any arrear rent into the accommodation supplier, up website right until the date of being defunded."
NSFAS explained that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going here to be chargeable for payment of lease for the lessor in the date of get more info getting 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 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 read more 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