Accommodation companies urged to halt demanding deposit from NSFAS funded students
The National Student Financial Aid Scheme (NSFAS) has urged landlords not to demand a deposit or top-up payment from NSFAS-funded students.
This comes soon after NSFAS been given reports about some accommodation providers who need NSFAS-funded students to pay for a deposit or top-up payment as a way to get usage of the accepted private accommodation.
Friday, February 7, 2025
"NSFAS reminds accommodation suppliers on the compulsory conditions, as furnished by the Standardised Fixed-Term Lease Settlement concerning the non-public accommodation vendors and NSFAS funded students," NSFAS reported in a press release on Thursday.
The Standardised Fixed-Term Lease Agreement states which the lease might be paid out every month towards the accommodation company (lessor) by NSFAS, on behalf of the lessee (NSFAS funded student), in accordance using the NSFAS conditions and terms for personal accommodation providers’ participation on the student accommodation portal.
"The lessor may not have to have or allow the lessee to pay a deposit, top-up payments, or any other varieties of payment to your lessor, or some other person in connection with this arrangement, like payment of lease, whilst awaiting payment from NSFAS. The lessor shall haven't any 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 suppliers’ participation on the student accommodation portal also states that: "Where the NSFAS-funded student is defunded due to an incorrect choice by NSFAS, the scholar more info won't be responsible for payment nsfas student allowances of any arrear rent into the accommodation supplier, up till the date of being defunded."
NSFAS spelled out that where the NSFAS-funded student chooses to continue occupying the leased premises, notwithstanding remaining defunded by NSFAS, the scholar will be accountable for payment of rent to your lessor within the date of getting defunded.
"Where the student is defunded by NSFAS due to a misrepresentation by the nsfas document submission deadline 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 without the prior approval of NSFAS, NSFAS nsfas student allowances may elect not to pay any rental to the new accommodation provider, and any more info 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