Accommodation vendors urged to end demanding deposit from NSFAS funded university students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to require a deposit or top-up payment from NSFAS-funded students.
This arrives right after NSFAS acquired stories about some accommodation companies who require NSFAS-funded students to pay for a deposit or top-up payment as a way to get access to the authorized private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation providers of your obligatory conditions, as supplied by the Standardised Fixed-Term Lease Agreement concerning the personal accommodation companies and NSFAS funded students," NSFAS said in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states that the lease is going to be paid month to month towards the accommodation service provider (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal.
"The lessor may not involve or permit the lessee to pay a deposit, top-up payments, or some other sorts of payment to the lessor, or any other person get more info in reference to this agreement, which includes payment of hire, even though awaiting payment from NSFAS. The lessor shall have no recourse in opposition to the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation companies’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded on account of an incorrect determination by get more info NSFAS, the student won't be answerable for payment of any arrear rent for the accommodation service provider, up until eventually the day of being defunded."
NSFAS described that wherever the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding being defunded by NSFAS, the student is going to be answerable for payment of read more rent towards 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 nsfas document submission deadline without the prior approval of NSFAS, NSFAS may elect not to pay any rental to the new accommodation provider, and any here 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 by NSFAS for this purpose.
From: SAnews.gov.za