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 to not demand a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS gained stories about some accommodation suppliers who demand NSFAS-funded students to pay for a deposit or top-up payment in an effort to get entry to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Settlement involving the personal accommodation providers and NSFAS funded students," NSFAS said in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will likely be paid monthly into the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay for a deposit, top-up payments, or any other varieties of payment into the lessor, or another person in connection with this agreement, which includes payment of lease, whilst awaiting payment from NSFAS. The lessor shall have no recourse against the lessee for any default within the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is nsfas student allowances defunded resulting from an incorrect selection by NSFAS, the scholar will not be chargeable for payment of any arrear rent towards the accommodation company, up until finally the day of being nsfas status check defunded."
NSFAS defined that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar will be responsible for payment of hire to the lessor through the day of being here defunded.
"Where the student is defunded by nsfas eligibility criteria 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, 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," website 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