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 not to require a deposit or top-up payment from NSFAS-funded students.
This arrives soon after NSFAS obtained stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment in an effort to get usage of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers with the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Agreement concerning the private accommodation providers and NSFAS funded students," NSFAS mentioned in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid month to month for the accommodation service provider (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS terms and conditions for private accommodation providers’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or another types of payment to your lessor, or another person in reference to this arrangement, such as payment of lease, when awaiting payment from NSFAS. The lessor shall don't have any recourse against the lessee for any default within the payment of rent by NSFAS," the agreement more info reads.
The NSFAS conditions and terms for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded as a result of an incorrect determination by NSFAS, the student won't be liable for payment of any arrear rent to the accommodation service provider, up right until the day of being defunded."
NSFAS defined that in which the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding currently being defunded by NSFAS, the student will be accountable for payment of hire to your lessor with the day of more info 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 more info 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 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 nsfas by NSFAS for this purpose.
From: website SAnews.gov.za