Accommodation companies urged to end demanding deposit from NSFAS funded university students
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 immediately after NSFAS acquired experiences about some accommodation providers who require NSFAS-funded students to pay a deposit or top-up payment in order to get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of your compulsory conditions, as provided by the Standardised Fixed-Term Lease Arrangement between the private accommodation companies and NSFAS funded students," NSFAS explained in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent is going to be paid out monthly for the accommodation service provider (lessor) by NSFAS, on behalf of your lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay for a deposit, top-up payments, or some other types of payment to the lessor, or another person in reference to this agreement, like payment of rent, while awaiting payment from NSFAS. The lessor shall haven't any recourse from the click here lessee for any default from check here the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation vendors’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect determination by NSFAS, the coed will not be chargeable for payment of any arrear rent on the accommodation provider, up until finally the date of being defunded."
NSFAS defined that where 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 rent to your lessor from your day of getting defunded.
"Where the student is defunded by NSFAS due here 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 such rental payments will be for the student own account," nsfas document submission deadline the scheme said.
The scheme emphasised that any dispute arising between the parties regarding the interpretation or implementation click here of the agreement, must be dealt with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za