Accommodation companies urged to stop demanding deposit from NSFAS funded students
Accommodation companies urged to stop demanding deposit from NSFAS funded students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords not 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 a deposit or top-up payment in an effort to get use of the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the obligatory conditions, as supplied by the Standardised Fixed-Term Lease Settlement amongst the private accommodation vendors and NSFAS funded students," NSFAS explained in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will probably be paid out 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 vendors’ participation on the student accommodation portal.
"The lessor may not have to have or permit the lessee to pay for a deposit, top-up payments, or another kinds of payment towards the lessor, or any other person in reference to this agreement, together with payment of lease, while awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded nsfas student allowances as a result of an incorrect decision by NSFAS, the scholar won't be answerable for payment of here any arrear rent into the accommodation service provider, up until eventually the date of being defunded."
NSFAS described that where the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be answerable for payment of hire website into the lessor in 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 read more 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 here in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za