Accommodation providers urged to end demanding deposit from NSFAS funded college students
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.
This arrives right after NSFAS received experiences about some accommodation providers who require 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 on the obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement concerning the personal accommodation vendors and NSFAS funded students," NSFAS stated in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent might be paid out regular towards the accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay for a deposit, top-up payments, or any other forms of payment on the lessor, or any other person in reference to this arrangement, such as payment of rent, while awaiting payment from NSFAS. The lessor shall don't have any recourse versus the lessee for any here default during the payment of rent by check here 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 due to an incorrect selection by NSFAS, the student will not be answerable for payment of any arrear rent on the accommodation provider, up until eventually the date of being defunded."
NSFAS explained that the place the NSFAS-funded student chooses to carry on occupying get more info the leased premises, notwithstanding currently being defunded by NSFAS, the student are going to be liable for payment of lease to the lessor from your day of more info becoming 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; check here 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 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