Accommodation vendors urged to stop demanding deposit from NSFAS funded students
Accommodation vendors urged to stop demanding deposit from NSFAS funded 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 arrives after NSFAS obtained stories about some accommodation suppliers who need NSFAS-funded students to pay for a deposit or top-up payment in order to get access to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies in the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement between the non-public accommodation suppliers and NSFAS funded students," NSFAS explained in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid monthly to your accommodation provider (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms 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 almost every other kinds of payment to the lessor, or almost every other person in connection with this agreement, like payment of lease, whilst awaiting payment from NSFAS. The lessor shall don't have any recourse in opposition to the lessee for any click here default inside the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect determination by NSFAS, the student will not be responsible for payment of any arrear rent to your accommodation service provider, up until more info eventually the day of being defunded."
NSFAS stated that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student are going to read more be chargeable for payment of lease to the lessor through get more info the date of getting 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 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