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 require a deposit or top-up payment from NSFAS-funded students.
This arrives right after NSFAS obtained stories about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment to be able to get use of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Settlement involving the private accommodation companies and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease might be paid regular on the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation companies’ 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 sorts of payment to the lessor, or another person in connection with this arrangement, which includes payment of hire, although awaiting payment from NSFAS. The lessor shall more info haven't any recourse towards the read more lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS terms read more and conditions for private accommodation vendors’ 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 student won't be answerable for payment of any arrear rent for the accommodation company, up till the day of being defunded."
NSFAS stated that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding staying defunded by NSFAS, the scholar will be responsible for payment of lease to your lessor from 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 here 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 website 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