Accommodation vendors urged to stop demanding deposit from NSFAS funded university students
Accommodation vendors 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 immediately after NSFAS received stories about some accommodation companies who demand NSFAS-funded students to pay a deposit or top-up payment in an effort to get access to the authorised private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies of the obligatory conditions, as provided by the Standardised Fixed-Term Lease Settlement among the non-public accommodation companies and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid monthly for the accommodation company (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay for a deposit, top-up payments, or any other forms of payment for the lessor, or every other person in connection with this agreement, like payment of lease, although awaiting payment from NSFAS. The lessor shall don't click here have any recourse in opposition to the lessee for any default while in the payment of rent by NSFAS," the agreement 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 because of an incorrect decision by NSFAS, the scholar will not be accountable for payment of read more any arrear rent towards the accommodation service provider, up right up until the date of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the student are going to be responsible for payment of hire to your lessor from your day of currently being 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 here 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 click here 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 here by NSFAS for this purpose.
From: SAnews.gov.za