Accommodation vendors urged to halt demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to require a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS received stories about some accommodation providers who require NSFAS-funded students to pay a deposit or top-up payment so as to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement concerning the private accommodation providers and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease might be paid out monthly towards the accommodation supplier (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or some other kinds of payment for the lessor, or every other person in connection with this arrangement, which include payment of hire, even though awaiting payment from NSFAS. The lessor shall don't have any recourse towards the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: check here "Where the NSFAS-funded student is defunded as a consequence of an incorrect selection by NSFAS, the student won't be accountable for payment of any arrear rent to the accommodation company, up till the day of being defunded."
NSFAS described that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student is more info going click here to be accountable for payment of hire towards the lessor in the date of being 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 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 check here interpretation or implementation of the agreement, must be dealt with in accordance with any dispute resolution procedure get more info determined by NSFAS for this purpose.
From: SAnews.gov.za