Accommodation companies urged to end demanding deposit from NSFAS funded college students
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 after NSFAS obtained reports about some accommodation vendors who demand NSFAS-funded students to pay a deposit or top-up payment as a way to get entry to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers from the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement among the private accommodation providers and NSFAS funded students," NSFAS mentioned in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will probably be paid out regular into the accommodation provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or some other types of payment for the lessor, or any other person in reference to this arrangement, together with payment of rent, even nsfas eligibility criteria though awaiting payment from NSFAS. The lessor shall haven't any recourse against the lessee for any default while in the payment of rent by NSFAS," the arrangement reads.
The NSFAS more info conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect selection by NSFAS, the scholar won't be accountable for payment of any arrear rent to your accommodation service provider, up website until finally the day of being defunded."
NSFAS discussed that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by NSFAS, the scholar is going to be answerable for payment of rent towards the lessor through 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 website 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 click here 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