Accommodation suppliers urged to stop demanding deposit from NSFAS funded university students
The National Student Financial Aid Scheme (NSFAS) has urged landlords never to demand a deposit or top-up payment from NSFAS-funded students.
This arrives soon after NSFAS gained reports about some accommodation companies who demand NSFAS-funded students to pay for a deposit or top-up payment so that you can get access to the accredited private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors of the compulsory conditions, as provided by the Standardised Fixed-Term Lease Agreement in between the private accommodation companies and NSFAS funded students," NSFAS mentioned in an announcement on Thursday.
The Standardised Fixed-Term Lease Agreement states the rent will probably be paid out every month to your accommodation supplier (lessor) by NSFAS, on behalf from the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not demand or allow the lessee to pay a deposit, top-up payments, or another kinds of payment to the lessor, or another person in connection with this arrangement, which includes payment of rent, while awaiting payment from NSFAS. The lessor shall don't read more have any recourse towards 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 as a consequence of an incorrect read more choice by NSFAS, the coed won't be accountable for payment of any arrear rent on the accommodation service provider, up until finally the day of being defunded."
NSFAS explained that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the student is going to be answerable for here payment of hire towards the lessor from the day of getting defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the lessee/guardian at any stage, the student check here 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," 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 here this purpose.
From: SAnews.gov.za