Accommodation vendors urged to stop demanding deposit from NSFAS funded students
Accommodation vendors urged to stop demanding deposit from NSFAS funded students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not demand a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS acquired experiences about some accommodation suppliers who need NSFAS-funded students to pay a deposit or top-up payment to be able to get access to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of your compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement involving the private accommodation providers and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid out monthly towards the accommodation supplier (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or another types of payment to your lessor, or almost every other person in reference to this agreement, which include payment of rent, when awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default within the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the scholar won't be responsible for payment of any arrear rent into the accommodation provider, up until eventually website the day of being defunded."
NSFAS defined that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be here answerable for payment of rent towards the lessor from your day of staying 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 here approval of NSFAS, NSFAS may elect not to pay any rental to the here 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 read more accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za