Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Accommodation companies urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not demand a deposit or top-up payment from NSFAS-funded students.
This arrives following NSFAS obtained stories about some accommodation providers who require NSFAS-funded students to pay for a deposit or top-up payment in an effort to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement between the non-public accommodation suppliers and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states that the rent will likely be paid out monthly to your accommodation provider (lessor) by NSFAS, on behalf with the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not call for or allow the lessee to pay for a deposit, top-up payments, or some other varieties of payment into the lessor, or any other person in connection with this agreement, which includes payment of lease, when awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for here any default during 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 because of an incorrect selection by NSFAS, the coed won't be answerable for payment of any arrear rent to your accommodation company, up until eventually the date of being defunded."
NSFAS explained that wherever more info the NSFAS-funded student chooses to continue occupying the leased premises, check here notwithstanding being defunded by NSFAS, the scholar are going to be responsible for payment of hire to your lessor in the click here day of 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 more info 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," 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