Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.
This comes following NSFAS been given stories about some accommodation providers who need NSFAS-funded students to pay a deposit or top-up payment as a way to get usage of the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Arrangement concerning the personal accommodation vendors and NSFAS funded students," NSFAS mentioned in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the rent will be paid out monthly for 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 vendors’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or some other forms of payment to your lessor, or another person in connection with this agreement, together with payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse towards the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student read more accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect decision by NSFAS, the coed won't be answerable for payment of any arrear rent towards the accommodation service provider, up until the day of being defunded."
NSFAS spelled out that where by the NSFAS-funded student chooses to website carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student will be chargeable for payment of hire here to your lessor within 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 website 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, read more 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 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