Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Accommodation providers urged to stop demanding deposit from NSFAS funded college students
Blog Article
The National Student Financial Aid Scheme (NSFAS) has urged landlords to not require a deposit or top-up payment from NSFAS-funded students.
This comes right after NSFAS been given experiences about some accommodation providers who demand NSFAS-funded students to pay a deposit or top-up payment so as to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers of your obligatory conditions, as provided by the Standardised Fixed-Term Lease Arrangement between the personal accommodation suppliers and NSFAS funded students," NSFAS said in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease will likely be paid out month-to-month to the accommodation supplier (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance with the NSFAS conditions and terms for personal accommodation vendors’ participation on the student accommodation portal.
"The lessor may not demand or permit the lessee to pay a deposit, top-up payments, or almost every other types of payment towards the lessor, or any other person in connection with this arrangement, like payment of hire, though awaiting payment from NSFAS. The lessor shall have no recourse from the lessee for any default in the payment of rent by NSFAS," the arrangement reads.
The NSFAS conditions and terms for private accommodation providers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is click here defunded on account of an incorrect decision nsfas by NSFAS, the student will not be answerable for payment of any arrear rent towards the accommodation supplier, up right until the date of being defunded."
NSFAS stated that wherever the NSFAS-funded student chooses to carry on occupying the leased premises, notwithstanding remaining defunded by NSFAS, nsfas academic pathways the student is going to be chargeable for payment of lease towards the lessor within 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 nsfas 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," 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 here dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za