Accommodation providers urged to halt demanding deposit from NSFAS funded college students
Accommodation providers urged to halt demanding deposit from NSFAS funded college 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 after NSFAS gained reports about some accommodation vendors who need NSFAS-funded students to pay a deposit or top-up payment in order to get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors from the compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement in between the personal accommodation suppliers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease are going to be paid out month to month into the accommodation service provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or every other kinds of payment on the lessor, or some other person in connection with this arrangement, including payment of rent, whilst awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default while in the payment of rent by more info NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect choice by NSFAS, the student will not be accountable for payment of any arrear rent here into the accommodation company, up until finally the day of being defunded."
NSFAS discussed that where by the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student will be chargeable for payment of rent to the lessor in the date of becoming defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student must read more 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 nsfas application delay of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any click here 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 accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za