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 demand a deposit or top-up payment from NSFAS-funded students.
This comes soon after NSFAS received reports about some accommodation companies who need NSFAS-funded students to pay a deposit or top-up payment in order to get access to the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation companies on the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the private accommodation vendors and NSFAS funded students," NSFAS reported in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will be paid out monthly into the accommodation company (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation companies’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or every other varieties of payment to your lessor, or every other person in reference to this read more arrangement, including payment of lease, although awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default from the payment of rent by NSFAS," the agreement reads.
The NSFAS conditions and terms for private nsfas tvet accommodation providers’ 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 on the accommodation service provider, up until eventually the day of being defunded."
NSFAS described that where by the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding getting defunded by more info NSFAS, the student is going to be answerable for payment of rent for the lessor through the day of remaining 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 prior approval of NSFAS, NSFAS may elect not to check here 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 more info 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