Accommodation vendors urged to end demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This arrives after NSFAS been given experiences about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment in order to get entry to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement between the non-public accommodation vendors and NSFAS funded students," NSFAS explained in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease will likely be paid regular to your accommodation service provider (lessor) by NSFAS, on behalf from 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 involve or permit the lessee to pay for a deposit, top-up payments, or almost every other kinds of payment to the lessor, or another person in reference to this agreement, which include payment of lease, whilst awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee for any default within read more the payment of rent by NSFAS," the agreement 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 on account of an incorrect determination by NSFAS, the scholar won't be accountable for click here payment of any arrear rent into the accommodation service provider, up right up until the day of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar is going to be responsible for payment of lease to your lessor in the date of 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, here accommodation more info providers without the prior approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, read more 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