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 not to require a deposit or top-up payment from NSFAS-funded students.
This arrives just after NSFAS gained reports about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment so as to get entry to the approved private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the non-public accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid month-to-month to the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or any other forms of payment to the lessor, or every other person in connection with this agreement, which includes payment of rent, though awaiting payment from NSFAS. The lessor shall haven't any recourse in opposition to the lessee check here for any default in 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 student won't be responsible for payment of any arrear rent for the accommodation provider, up till the date of being defunded."
NSFAS spelled out check here that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student will be liable for payment of hire on the lessor in website the day of becoming 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 get more info 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 implementation of the more info agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za