Accommodation companies urged to stop demanding deposit from NSFAS funded students
Accommodation companies urged to stop demanding deposit from NSFAS funded students
Blog Article
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 following NSFAS received stories about some accommodation vendors who require NSFAS-funded students to pay a deposit or top-up payment in an effort to get usage of the permitted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation vendors in the compulsory conditions, as supplied by the Standardised Fixed-Term Lease Arrangement involving the private accommodation suppliers and NSFAS funded students," NSFAS mentioned in a statement on Thursday.
The Standardised Fixed-Term Lease Agreement states the lease will be paid out month-to-month into the accommodation company (lessor) by NSFAS, on behalf on the lessee (NSFAS funded student), in accordance with the NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal.
"The lessor may not need or allow the lessee to pay a deposit, top-up payments, or almost every other forms of payment into the lessor, or every other person in connection with this arrangement, which includes payment of hire, even though awaiting payment from NSFAS. The lessor shall haven't any recourse towards the lessee for any default inside the payment of rent by NSFAS," the agreement reads.
The NSFAS terms and conditions for private accommodation suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded resulting from an incorrect determination by NSFAS, the scholar will not be answerable for payment of any arrear rent into the accommodation get more info supplier, up until the day of being defunded."
NSFAS spelled out that exactly where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding becoming defunded by NSFAS, the scholar get more info will be answerable for payment of lease on the lessor through the date check here 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 click here 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 get more info with in accordance with any dispute resolution procedure determined by NSFAS for this purpose.
From: SAnews.gov.za