Accommodation companies urged to stop demanding deposit from NSFAS funded students
Accommodation companies urged to stop demanding deposit from NSFAS funded students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.
This arrives just after NSFAS acquired stories about some accommodation companies who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement in between the personal accommodation vendors and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease is going to be paid out regular monthly to the accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not require or permit the lessee to pay for a deposit, top-up payments, or every other kinds of payment to your lessor, or any other person in reference to this arrangement, including payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the click here lessee for any default from the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation companies’ participation click here on the student accommodation portal also check here states that: "Where the NSFAS-funded student is defunded as a consequence of an incorrect decision by NSFAS, the scholar will not be chargeable for payment of any arrear rent to your accommodation company, up until eventually the date of being defunded."
NSFAS defined that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the student are going to be chargeable for payment of rent towards the lessor with the day of remaining 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 click here 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 agreement, must be dealt with in read more accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za