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 never to demand a deposit or top-up payment from NSFAS-funded students.
This comes right after NSFAS obtained stories about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment so as to get usage of the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement involving the non-public accommodation suppliers and NSFAS funded students," NSFAS explained in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will likely be paid regular monthly to your accommodation company (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal.
"The lessor may not involve or allow the lessee to pay a deposit, top-up payments, or any other varieties of payment on the lessor, or every other person in reference to this arrangement, which includes payment of rent, while awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default from 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: "Where the NSFAS-funded student is defunded resulting from an incorrect decision by NSFAS, the student will not be responsible for payment of any arrear rent to your accommodation service provider, up until finally the date of being defunded."
NSFAS discussed that wherever click here the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming click here defunded by NSFAS, the student is going to be answerable for payment of rent towards the lessor through the day of staying defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the more info 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 here 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 accordance with any dispute resolution procedure determined by NSFAS click here for this purpose.
From: SAnews.gov.za