Accommodation companies urged to stop demanding deposit from NSFAS funded university students
Accommodation companies urged to stop demanding deposit from NSFAS funded university 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 following NSFAS gained experiences about some accommodation vendors who demand NSFAS-funded students to pay for a deposit or top-up payment so as to get usage of the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the obligatory conditions, as furnished by the Standardised Fixed-Term Lease Settlement involving the non-public accommodation suppliers and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid monthly to the accommodation service provider (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not require or allow the lessee to pay a deposit, top-up payments, or another sorts of payment for the lessor, or any other person in reference to this agreement, which include payment of hire, whilst awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: more info "Where the NSFAS-funded student is defunded because of an incorrect selection by NSFAS, the scholar won't be accountable for payment of any arrear rent into the accommodation company, up until finally the day of being defunded."
NSFAS defined that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the scholar is going to be answerable for payment of rent towards the lessor through the day of remaining more info defunded.
"Where the get more info 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 click here 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 more info 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